The Overview of Tax Investigation to Corporations 2023 in Japan

Hello, my name is Taisei Koshida, and I am a certified public accountant and tax accountant.

I aim to assist non-Japanese business owners who need help with reading or writing in Japanese. If you find the Japanese tax return system challenging, I can help you with your tax filings.

The National Tax Agency of Japan released an overview of tax investigations to corporations in 2024.

1. The Overview

The number of corporation and consumption tax investigations in 2023 was 59,000, 94.6% compared to the previous year. The additional tax payment per case was 5.5 million yen. The number of simple contacts, which request taxpayers’ voluntary refiling via calls or requested meetings, was 70,000, 105%. The same amount per case is 0.1 million yen.

2. Focused Efforts

They focused on consumer tax refunding, overseas corporation transactions, and failing to file.
In detail, they imposed additional tax payments for companies that had refunded consumption tax. The amount is 39 billion yen, including 8.1 million yen of fraudulent refunds. Also, they detected 287 billion yen of undeclared income related to transactions overseas. Elsewhere, they taxed 21.9 billion yen to non-filing companies.

3. The Industries with High Rat of Fraud Detection

The worst was bars and clubs, following other restaurants and foreign cuisine.

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