Please find this month’s topics below. We hope they will be useful to you.
▼税務
Introduction of a Documentation Retention Requirement for Related-Party Transactions
The 2026 Tax Reform introduced the following provision with respect to corporate income tax.
Where a domestic corporation makes a payment to a related party as consideration for (i) the transfer or licensing of certain intangible fixed assets such as industrial property rights, or (ii) the provision of services utilizing know-how or other expertise possessed by the related party, and the relevant agreements, invoices, or other transaction documents do not contain information regarding the assets or services that were the subject of the transaction and detailed calculations of the consideration paid, the corporation is required to obtain or prepare and retain documentation that clarifies such omitted information.
Failure to retain such documentation may result in the revocation of the corporation’s blue-return filing status. This amendment applies to fiscal years beginning on or after April 1, 2026.
▼労務
Regarding the December 2026 Amendments to iDeCo
Under the iDeCo amendments scheduled to take effect on December 1, 2026, the upper age limit for enrollment will be raised from the previous standard of under 65 to under 70 for individuals who meet certain requirements (*).
At the same time, the contribution limit will be increased: for salaried employees without a corporate pension, the limit will rise from 23,000 yen to 62,000 yen per month; for salaried employees with a corporate pension and civil servants, the total monthly contribution？including the corporate pension？will be raised to 62,000 yen. The income tax deduction for contributions will also be maintained.
As a transitional measure, individuals aged 60 or older but under 70 who do not meet the certain requirements will be eligible for new enrollment until the end of November 2029. (Note: Certain individuals, such as recipients of the Basic Old-Age Pension and those receiving matching contributions, are excluded.)
Specific requirements (*): Individuals who fall into one of the following categories？① iDeCo members or investment decision-makers, ② those transferring assets from a corporate pension to iDeCo, or ③ those not making matching contributions？and who are not currently receiving the Basic Old-Age Pension or iDeCo old-age benefits, etc.
Source: Ministry of Health, Labour and Welfare, “iDeCo Will Be Enhanced Starting December 2026!”