1. Taxation (Source: “Zeimu Tsushin Magazine”)
When a donation is made on or after October 1st, 2010 between companies that have a 100 percent shareholding relationship, total amount of the donation will not be deductible for the donating company and it will not be included in the taxable income for the recipient company. The amount of any benefit virtually regarded as a donation is also subject to the above treatment. For example, if assets are transferred at a lower price than market, the difference between such price and the market value is treated as a donation for tax purposes.
2. Accounting (Source: “Keiei Zaimu Magazine”)
The number of the listed companies whose improper accounting treatments were discovered in fiscal 2009 is 16 down by 6 from the previous year.
For more detail, “overstated sales and assets are most common followed by fictitious sales, understated expenses and overstated inventories recorded by their subsidiaries.
In addition, all these 16 companies are not delisted for their improper accounting treatments.
3. This Week’s Words of Wisdom (Source: “English words of wisdom to enrich life”)
“Whenever you are asked if you can do a job, tell ’em, “Certainly I can!” Then get busy and find out how to do it” (Theodore Roosevelt)
Roosevelt is well known among Japanese as a mediator in peace talks between Japanese and Russians to conclude their war.
What encouraging words this great figure gave to us.