Tax
Group Policy and Basic Approach
The Kansai Paint Group engages in business activities in multiple jurisdictions each of which has a unique tax system. Complying with these tax systems is one of the important roles that a company must fulfill. To fully perform this role, the Group has established its Tax Policy.
Kansai Paint Group Tax Policy
We operate our business under the vision “Enrich Lives with Happiness.” The Group conducts business activities across a wide range of countries and regions. We recognize that paying taxes is one of the most fundamental and important social responsibilities of a corporation. In accordance with the following basic principles, we aim to comply with applicable tax laws in each country and region, and make appropriate tax payments. Through these efforts, we seek to build trust with various stakeholders and contribute to the economic development of each country and region.
Compliance with Laws
We comply with domestic and international tax-related laws and regulations and carry out accurate and highly transparent tax filings and payments. We maintain sincere and constructive relationships with tax authorities and engage in dialogue when necessary.
Tax Compliance
We strive not only to make proper filings and payments but also to conduct accounting practices in line with the spirit of tax laws.We will cultivate trust through honest dialogue with tax authorities.
Prevention of Tax Avoidance
We do not engage in transactions for the purpose of tax avoidance that lack business substance, nor do we use tax havens for excessive tax reduction. Tax planning is based on genuine business activities and conducted in accordance with laws and regulations.
Transfer Pricing
The Group will ensure that transactions with overseas related parties are conducted on an arm’s-length basis. We will prepare transfer pricing documentation as required and work to reduce tax risk and maintain transparency.
Tax Risk Management and Governance
We appropriately identify and assess tax-related risks and establish a management system under the supervision of the Board of Directors and senior management. For unclear issues, we consult external experts or tax authorities to make appropriate decisions.
Transparency and Disclosure
We appropriately disclose important tax policies and activities to ensure transparency with stakeholders. We will continue to respond to changes in international tax rules and disclosure standards and strive for continuous improvement.
Structure & System
We recognize that maintaining and enhancing governance related to tax matters contributes to improvingcorporate value, and we are committed to strengthening our framework accordingly. To this end, led by the KansaiPaint Tax Group, we are reinforcing collaboration with each Group company and promoting initiatives to build astructure that appropriately improves tax compliance and reduces tax-related risks.Personnel within the Tax Group continuously develop and enhance the broad skills required to address tax issuesby participating in capability-building programs provided by external organizations and in tax-related training.In accordance with its tax policy, the Kansai Paint group will implement effective management, strengthengovernance, build constructive and positive relationships with respective tax authorities and fulfill its tax obligationsin all countries and regions.
