１. Accounting (Source: “Keiei Zaimu Magazine”)
The Japanese surcharge system was introduced in 2005 to impose financial penalties on those who violated
the Financial Instruments and Exchange Act by engaging in financial reporting fraud.
Since this is a strict liability offense, it holds violators legally responsible for their legal infractions regardless of intent.
It has been discussed whether we should keep this system alive under the IFRS when they are adopted.
In case of their adoption, how the surcharge system works will depend on interpretation and application of IFRS
that are considered to be a principles-based set of standards.
２. Taxation (Source: “The Nikkei on October 21st, 2010”)
The Japanese government is considering a plan to apply effective corporate tax rate reduced to 25-30%
to foreign capital corporations for the first five years from their establishment of business to attract overseas investors.
Currently, the Japanese corporate tax rate is 40%, one of the highest rates among developed countries, and is said to be partly responsible for discouraging foreign direct investments (FDI).
The government aims to put it into effect next year.
３. This Week’s Words of Wisdom (Source: “Famous inspirational quotes” edited by Shintaro Ishihara)
Some people use the word “limit” so frequently when they complain as if they were addicted to it.
I would say “limit” is something we create and it wouldn’t become a reality unless we allow it.
“Once you set a “limit”, you become doubtful about your capabilities.
Then you will use this word as a good excuse for failure.” (Antonio Inoki, A Japanese professional wrestler)
This quote tells us that those who stand out are great hard-workers without exception. “Limit” is another word for “escaping reality”, I guess.