JERA Group Tax PolicySustainability / Compliance
March 31, 2025
The JERA Group, under the mission of “To provide cutting-edge solutions to the world’s energy issues”, aims to achieve “Sustainable Growth of Corporate Value” and “Contributing to a Sustainable Society” through the fulfilling our mission and vision.
The JERA Group considers to comply with the tax laws and regulations of each country and region in which it operates and international taxation rules such as tax treaties and the OECD Guidelines (Hereinafter referred to as Tax laws, regulations, and international rules), to file tax returns and to make tax payments appropriately, as well as to complete tax risk management is contributing to sustainable growth of corporate value of JERA Group.
In addition, coexist and thrive alongside local communities in Japan and abroad is one of the JERA’s infrastructures for Value Creation, and the JERA Group, in the perspective of tax, fulfills its social responsibilities by contributing to a sustainable development of local communities through appropriate tax payments.
１.Tax Governance
As a global company, the JERA Group complies with the intent and purpose of Tax laws, regulations, and international rules, under the guidance of directors and management, and fulfills its tax compliance, taking into consideration the advice from tax advisors of each country and region as necessary.
The JERA Group Tax Policy is reviewed as appropriate to accommodate any changes in the business environment, tax system, etc, approved by JERA’s Leadership Panel and applied to the entire JERA Group.
２.Tax Risk Management
The JERA Group has established and maintains a structure and framework to appropriately manage tax risk that may cause damage to its corporate value. In addition, if a significant tax risk arises or may arise, the JERA Group takes appropriate and proper actions immediately to prevent damage to its corporate value.
３.Ensuring Tax Transparency
The JERA Group understands the importance of being accountable to the tax authorities and all stakeholders regarding tax operations and strives to ensure tax transparency by disclosing tax information in accordance with laws and regulations immediately in an appropriate and proper manner.
４.Transfer pricing
The JERA Group complies with Tax laws, regulations, and international rules, and sets prices based on arm’s length prices for cross-border transactions between group companies.
５.Prohibition against Tax Avoidance Activities
The JERA Group will not engage in activities that deviate from the intent and purpose of Tax laws, regulations, and international rules, and transfer values to countries with low taxes or so-called tax havens solely for the purpose of tax avoidance without any substantial business activities.
６.Tax Cost Optimization
The JERA Group, whilst ensuring compliance with Tax laws, regulations, and international rules, strives to maintain and improve its corporate value by optimizing tax obligations within the taxation system.
７.Relationship with Tax Authorities
The JERA Group strives to build and maintain trust with the tax authorities through providing domestic and foreign authorities with tax information in a timely and appropriate manner and responding in good faith during tax audits.