Trusted advisor for SMEs and growing businesses with multi-country operations.
ES Next Tax Co. supports foreign-owned and globally operating companies at every stage — from entering the Japanese market and building back-office foundations, through ongoing tax compliance, to tax consulting that optimizes group tax cost and manages risk in a way resilient to future tax audits.
ES Next resolves the shortage of accounting-related resources during the initial stages of foreign companies entering the Japanese market by providing the following services.
Bookkeeping and preparation of trial balances in compliance with IFRS or Japan GAAP. Review of books and accounting treatment, supporting clients to prepare accurate trial balances in compliance with IFRS or Japan GAAP.
Preparation of quarterly reporting packages for a Japan subsidiary — including reporting tax provision and deferred tax provided by group headquarters — for quarterly consolidated reporting purposes.
Monthly salary and bonus calculation with applicable national and local taxes as well as social-security insurance premiums.
It is burdensome for foreign-owned companies to maintain in-house personnel capable of handling tax matters in each local country in compliance with frequently amended tax laws. ES Next supports foreign-owned companies in ensuring compliance with Japan tax regulations through our specialized expertise in tax matters.
Preparation of corporate income tax returns for both national and local taxes.
Preparation of consumption tax returns, including e-commerce business foreign corporations.
Preparation of application forms for income tax conventions, as well as consultation on international tax matters.
Preparation of depreciable-assets declaration forms for local fixed-asset tax.
Preparation of payment slips and summary report forms for payments subject to reporting obligations under the Income Tax Act.
Handling year-end tax adjustments for salaries paid to employees on behalf of the company.
For group companies operating globally, optimizing tax costs is a critical initiative for maximizing corporate value. In particular, it is essential to appropriately allocate income among group companies based on function and risk in a way that is resilient to a tax audit in the future. ES Next works closely with clients in line with the tax strategy set by the group companies.
Consultation on tax-efficient and tax-compliant transfer prices for related-party transactions.
Consultation on issues around group restructuring from a Japan tax perspective, including tax-free reorganization.
Preparation of transfer pricing documentation (“local file”) in compliance with Japanese transfer pricing regulations as well as the OECD transfer pricing guidelines.
Support for the calculation of GloBE Income as well as covered taxes for Japan under BEPS 2.0 Pillar Two.