Inheritance・Business Succession

Business Succession and Inheritance are a primary concern for business owners and people with the wealth. Succession of management and assets need to be done by utilizing Corporate Law or Tax Law.  Sometime, you might use classified stocks in Corporate Law or apply a method stated in Business Succession Act or use a method under Regulations Concerning Settlement Taxes at Succession. 

We can respond to any requests regarding business succession and inheritance from you like filing for gift tax and inheritance tax, consultation on issues of dividing inherited properties at succession, advance tax planning, evaluation for stop price for gift and inheritance.

For Example,

  • At inheritance, I could not obtain an approval from relatives and my inheritance tax was declared separately by the tax accountant and the lawyer. 
  • Inheritance Tax Filing for a deceased who was a non-resident and moved place to place seasonally in the world.  
  • Inheritance tax filing for a deceased who owned many stocks of public companies or lands. 
  • How to establish a property management company.
  • Application of Regulations Concerning Settlement Taxes to inherited properties whose values are expected to be increased in the future.
  • Gift of stocks after changing them to classified stocks. 

Inheritance Tax Measure

When you think about Inheritance Tax Measure, it might come to your mind only that how you can save the taxes. Of course, it is a very important aspect, but it is not a primary thing. What you have to think primary is “what and how do you want to inherit to the next generation?”

First, you need to check if there is any problem in terms of tax payments at a time something happens to you, then, think to whom and what you want to inherit, see by doing so if there are any issues such as violation to the remains by other heirs and risks are hedged, and finally, see if there are any tax savings. 

By proceeding with inheritance, adhering only to tax savings, how many heirs end up fighting each other at inheritance.  

We, SU Partners Tax Corporation, start by analyzing the present situation, strive to prevent any conflicts among heirs from happening in complying with client’s wishes, paying attention to tax payments and remains and aim to achieve tax savings and contribute to the prosperity of family in the end.  

Achievement for Inheritance Measure

For example, 

① For a super wealthy man who owns several real-estates and financial assets both in Japan and overseas, made a proposal for division of inheritance according to heirs living in Japan and overseas, achieving tax savings totaling several hundreds million JPY by measures like utilizing a non-profit general social association,  making the most of real-estates, avoiding a risk of dementia by the setting of family trust.

② For a wealthy man who owns foreign financial assets,  made a proposal of a scheme which enables to achieve income & inheritance tax saving by utilizing a property management company. 

③ For a wealth man thinking for tax savings by properties, made a proposal to transfer the assets by utilizing a property management company owned by his child who chose settlement taxation at succession by an advice from a former tax accountant and for succession of financial assets which are easier to be owned by a child living overseas. 

Business Succession

Aging society is extending its influence to small-mid sized companies which is the basis of Japanese economy. If it keeps going as it is now, it is estimated by Ministry of Economy, Trade and Industry that the number of business owners whose age is over 70 years old would become about 2.5 million and the half of them would become the business owners who can not find its successor.   

Worries they are facing are various like there is no successor, there is a successor but being worried about other heirs, how to take over to a successor who is not a family member etc.  

As a parent, you are fair to all children but at business succession, it often happens that this acts negatively.  There are difficult issues like concentration of a right to control by a successor and considerations to other heirs etc.   

We propose the best solution, grasping correctly the needs of the present business owner and his successor. 

① A case that dividing a company into the one with main business and another with other businesses and the former is taken over to the successor.  

② A case that reducing the market value of the company by providing a retirement allowance, the business succession was made by transferring the shares to the successor at this timing.  

③ A proposal of a scheme to restrain the increase in the market value by making a profitable company become a holding company. 

④ A case that while applying for gift tax payment postponements, business succession was made to the next generation.

We join Business Succession ADR

We join Business Successoin ADR Center which was established as a part of solutions for troubles arising from business succession.

We propose a solution and act as a mediation of settlement at private arbitration for any conflicts related to inheritance of stock of unlisted company, internal dispute among family companies, business transfer, acquisition of enterprise, division of company etc, by utilizing the expertise by professionals like lawyers, certified tax accountant, certified pubic accountants etc. 

Home page of Business Succession ADR Center (only in Japanese)