On December 16th the Japanese Government released its annual Tax Reform Program (for the year 2016).
Although the details of the tax reform will be unveiled in the bills revising the tax laws and the succeeding amended tax laws, cabinet orders and ministerial ordinances, this proposal represents a starting point to analyse possible changes within the Japanese taxation system.
Experts from Ernst & Young will give IBA Japan members their insight on how these changes will impact the financial services industry in Japan. The presentation will cover various topics including:
Update on the Japanese Income Tax amendments
Changes related to Consumption Tax
The 2016 Tax reform within the BEPS framework
Mr. Masato Ui, Director, Payment and Settlement Systems Department, Bank of Japan
Mr. Nicolas Tollie, Head of Capital Markets and Japan Representative, Sia Partners KK
In the first half of 2018 the new framework to shorten JGB settlement cycle to T+1 will be implemented and, ahead of that, the necessary infrastructure is being put in place.
Mr. Ui, Director of the Payment and Settlement Systems Department at BOJ will discuss current issues related to the programme. He will set out:
Initiatives to reduce settlement risk after the Lehman crisis
Shortening of the JGB settlement cycle (T+1)
Challenges for cross-border transactions
Development of the new BOJ-NET
In the second part of the presentation, Mr. Tollie from Sia Partners will examine the change from the users’ prospective: he will present the results of their market readiness survey, an operation model and an infrastructure-readiness timeframe to prepare for this change. The presentation will also cover:
Special collateral repo and general collateral T+0 repo.
Key challenges for market participants to comply with the JGB T+1 Working Group guidelines. guidelines.
