The SOMPO Holdings Group sets out a basic principle of “Compliance with applicable laws and regulations relevant to the business activities in each country.” It aims to maintain and improve tax compliance in accordance with tax related laws, regulations and standards, such as OECD, EU and UN guidelines, published by international organizations as well as by each country and region, and fulfills its corporate social responsibility by properly paying its taxes.
2.Approach to International Taxation
The SOMPO Holdings Group strives to mitigate any risk of damaging corporate value from tax penalties and/or double taxation, based on understanding the purpose of the BEPS initiative led by the OECD.
International transactions between intra-group entities are conducted at an arm’s length price. The SOMPO Holdings Group also ensures international income is allocated between parties on an appropriate basis.
3.Optimization of Tax Burden
In order to maximize corporate value, the SOMPO Holdings Group aims to minimize tax risks and to make appropriate and effective use of tax mitigation measures in accordance with jurisdiction’s laws and morals. The SOMPO Holdings Group does not perform tax avoidance by, for example, utilizing excessive tax saving practices based on interpretations and/or applications that deviate from the content, meaning and intention of the relevant laws and regulations.
4.Relationship with the Tax Authorities
The SOMPO Holdings Group seeks to maintain a positive relationship with the tax authorities by always ensuring its explanations of its positions are sincere, transparent and based on true facts.
The SOMPO Holdings Group keeps proper and timely manners of filing tax returns, paying taxes and submitting information with regard to tax when requested by the tax authorities. Furthermore it will undertake measures for improvement of matters which are subject to the advice of the tax authorities to be agreed.