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Global Rewards Update: Japan – 21 October 2009

Former senior executive accused of evading Japanese income tax on stock options gains

A former senior executive of a Japanese subsidiary of a major U.S. pharmaceutical company has been accused of evading taxes on the gains arising from the exercise of stock options granted by the subsidiary’s U.S. parent. The Tokyo Regional Taxation Bureau (TRTB) has accused the executive of underpaying ¥60 million in Japanese income taxes (approximately US $670,000).

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