1. Accounting (Auditor Changes)
FY2021 saw 222 cases of external auditor changes in total, an increase of 80 cases over the previous year.
In particular, the largest contributor was a shift from a large to a smaller audit firm, which made up more than 40% of the total with 95 cases.
The second largest was a shift from a large to a semi-large audit firm, with 41 cases accounting for just under 20% of the total.
(Source: Shukan Keieizaimu – Issuing No.3551)
2. Tax (Tax System Reform Plan for FY2022 – Special Provision for Depreciation)
The special provision for depreciation under the corporate tax allows companies to include the acquisition cost of depreciable asset in full in the deductible expenses at one time when such cost is less than 100,000 yen. However, those assets being acquired to rent out are to be excluded from the scope of the special provision under the tax system reform plan for FY 2022. This revision applies to the assets acquired on or after 1 April 2022.
3. Labor Management (Revisions to Requirements for Exemption from Social
Insurance Premium Payments during the Period of Childcare leave, etc.)
Requirements for exemption from social insurance premium payments during the period of childcare leave, etc. are revised, and the new requirements will apply to the period of childcare leave, etc. starting on or after the effective date (1 October 2022). The following is the outline of the revisions:
1) In addition to the case where the period of childcare leave, etc. runs through the last day of the month in which the starting date falls, the premiums payments based on the standard monthly remuneration will be exempted in the case where the childcare leave, etc. is taken for 14 days or longer during the same month.
2)As for the premiums payments based on bonuses, it will only be exempted when the childcare leave, etc. is taken for one consecutive period of longer than a month. More specifically, such period of the leave will need to cover the last day of the month in which the bonuses are paid to have this exemption applied.
(Source: Ministry of Health, Labour and Welfare – Q&A on Requirements for Exemption from Social Insurance Premium Payments during the Period of Childcare leave, etc.)
4. This Month’s Words of Wisdom
“Keep busy. The worried person must lose himself in action, lest he wither in despair.”
We can put our worries behind with the help of endless routines. That’s true for everyone. But in the end, nothing will settle in this way.
For more details, please refer to Nagamine & Mishima JC Accounting K.K.