How tax will boost foreign funds.

In this article the author comments on the taxation reforms taken up by Japan and their impact on boosting the inflow of foreign investments into the country. As stated, the Japanese government promoted investment from foreign investors through private equity funds by making important tax reforms including the introduction of the permanent establishment exemption and the exception from 25/5 income tax rule to certain limited partners (LPs). The article also discusses the prerequisites for applying to such tax exemptions and examine certain issues to consider before applying the rules.