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Earnings stripping provisions to take effect from 1 April 2013

|Approved Changes|Japan
Japan

As part of the 2012 Tax Reform, Japan adopted earnings stripping provisions under which a corporation's deduction for net interest expense paid to a related party will be limited to 50% of adjusted income effective for tax years beginning on or after 1 April 2013.

Related party

(i)   person with whom the corporation has a 50% of …

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