Restriction in using carried loss from past -2

Loss that a company with “Blue Tax Form” status can be carried over 9 years (it will be 10 years from a fiscal year that starts after April 1, 2018).

The loss can be used only when all the tax returns have been submitted since then. Loss that was incurred for fiscal year when a company is not qualified for Blue Tax Form will not be allowed to offset against future income. Tricky point is that you can use the loss carried from the past when you were qualified for Blue Tax Form even if you are not qualified (White Tax Form) for this running year.

If a company is regarded as small/medium sized enterprise (SME), you can offset 100% of taxable income against the carried loss. If you are not, only a proportion of income can be offset and therefore the remainder will be still taxable.

The percentage is as following:
1) Accounting year that starts between 2015/4/1 to 2016/3/31: 65%,
2) Accounting year that starts between 2016/4/1 to 2017/3/31: 60%,
3) Accounting year that starts between 2017/4/1 to 2018/3/31: 55%,
4) Accounting year that starts after 2018/4/1: 50%.

The definition of SME is:
A company with paid-in capital of equal to or less than 100,000,000 yen except for a company that is owned 100% by Large Enterprise whose capital is equal or bigger than 500,000,000 yen.

Ueno park was crowded with a lot of tourists from Japan and abroad. It will be even more crowded in the season of cherry blossom. This statue was actually a man mimicking like a robot. This place is fun.