Tax Policy
This section introduces initiatives we have in place at the Yamaha Motor Group for tax governance.
Basic Tax Policy
The Yamaha Motor Group has established the following basic tax policy. The tax function of the head office is to carry out required tax duties in accordance with the company’s tax policy and report the status of its progress to the director in charge of the corporate planning and financial domains in a timely manner.
Based on the company’s basic tax policy, the tax function of the head office provides employees throughout the company and within the Yamaha Motor Group companies with appropriate guidance on taxation. The head office also works to maintain a governance system related to taxation across the group itself.
Aims
Contributing to the nation and society through tax payment is one of Yamaha Motor's management principles and is part of the company’s global implementation of social responsibility. In pursuit of this philosophy, Yamaha Motor Group companies always pay their taxes both correctly and in a timely manner.
Three Basic Elements
| Compliance with Tax-related Laws and Regulations | The Yamaha Motor Group complies with applicable tax-related laws and regulations in the countries and regions where it operates and conducts our business activities in line with international standards such as OECD transfer pricing guidelines. |
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| Maintaining Transparency | Yamaha Motor will disclose tax payment information to stakeholders including tax authorities in a timely and appropriate manner. |
| Relationship with Tax Authorities | Yamaha Motor strives to establish and maintain appropriate relationships with the tax authorities based in each country.
Yamaha Motor endeavors to be fully accountable to ensure against any discrepancies with the tax authorities on individual matters. In the event of a differing viewpoint with an authority, Yamaha Motor will always take appropriate measures to solve any dispute, and in this way, maintain our business value. |
Structural framework to secure the above three elements
| Tax Governance System | Yamaha Motor positions tax governance as management responsibility for the director in charge of corporate planning and financial domains and gives corporate tax function its executive authority. The Yamaha Motor group companies and their employees receive appropriate guidance from the head office tax function as required and carry out business activities in accordance with Group Financial and Accounting Detailed Guidelines. |
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| Tax Function Responsibilities | The head office tax function establishes and manages the tax governance system within the group based on this basic tax policy and monitors that business activities are properly conducted in accordance with this policy. |
| Business Activity Principles | Role and cost sharing among group companies are based on the beneficiary-to-pay principle. For regular transactions between group companies, we recommend the setting of transaction prices based on the arm’s length principle. Yamaha Motor does not use transactional structure that lack economic substance nor shift its profit to low-tax jurisdictions (so-called tax havens) , for the purpose of tax avoidance. |
| Double Taxation Avoidance | Through various activities aimed at avoiding double taxation, Yamaha Motor has established and maintains appropriate relations with tax authorities and works to optimize mid- and long-term tax related expenses. |
| Application of Preferential Tax Benefits | Yamaha Motor considers the applications of any preferential tax benefits and strives to optimize all tax-related expenses in the planning and promotion of its business activities. |
