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Japan enacts 2023 tax reform bill including legislation to implement IIR to align with OECD BEPS 2.0 Pillar Two

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Japan

  • Japan’s 2023 tax reform bill was enacted after it was passed by the Japanese Diet on 28 March 2023.

  • The income inclusion rule (IIR) will apply to fiscal years beginning on or after 1 April 2024.

Executive summary

Japan’s 2023 tax reform bill (the Bill) was enacted almost immediately after passing the Japanese Diet on 28 March 2023. Recall that Japan’s 2023 tax reform outline (the Outline)1 was annou…

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