Post by Tashibo on Dec 18, 2008 8:16:23 GMT 4
Japan abolishes tax on foreign profits
Japanese prime minister Taro Aso has included tax cuts in a ¥10 trillion ($111 billion) economic stimulus package.
Corporate foreign profits will be exempt from tax and relief for gains from stock sales and dividends will be extended until 2011. The fiscal package also covers help for businesses to grow and expand. Aso hopes to implement a "a fundamental reform of the tax system, including the consumption tax" from 2011.
The Japanese economy is now in recession, having recorded negative growth for two consecutive quarters. Economists have warned that with the economic situation worsening rapidly, the measures would have to be implemented swiftly to have the desired effect.
Japanese prime minister Taro Aso has included tax cuts in a ¥10 trillion ($111 billion) economic stimulus package.
Corporate foreign profits will be exempt from tax and relief for gains from stock sales and dividends will be extended until 2011. The fiscal package also covers help for businesses to grow and expand. Aso hopes to implement a "a fundamental reform of the tax system, including the consumption tax" from 2011.
The Japanese economy is now in recession, having recorded negative growth for two consecutive quarters. Economists have warned that with the economic situation worsening rapidly, the measures would have to be implemented swiftly to have the desired effect.