Suntory Group Global Tax Policy
The Suntory Group established the “Suntory Group Code of Business Ethics” as a foundation to be a valuable corporate group that conducts business with fairness and integrity in compliance with laws and regulations and to be deeply connected with people and society through trust. The “Suntory Group Code of Business Ethics” declares our commitment to conduct fair and transparent activities in accordance with laws and high ethical standards under the principle of “conducting business with integrity and fairness.” One of its provisions establishes the accurate recording of financial information based on applicable laws and regulations as well as internal rules and the proper payment of taxes using that information. Drawing from the principles of the “Suntory Group Code of Business Ethics,” we established the Suntory Group Global Tax Policy as practical guidelines for us to follow.
Tax Compliance
We strive to understand the principles and backgrounds of the tax related laws of the countries/jurisdictions in which we operate, as well as guidelines published by international organizations, such as the OECD, and ensure compliance and hold a strong ethical perspective when conducting all business activities.
Tax Governance
We establish clear reporting lines at the global level and ensure accurate and timely reporting of tax information. Compliance with the tax policy is regularly reviewed by the CFO, and in the instance material tax issues arise, such issues will be shared with the Global Risk Management Committee.
Our tax teams engage in close communication with each business unit and provide tax advice/consultation so that the tax policy is reflected in the actual activities of the business.
We fulfill tax obligations, including the payment of appropriate taxes in jurisdictions where we operate and, when necessary, seek advice from external professional advisors to execute according to the best practices in tax management.
We carry out activities to increase internal awareness, including tax related trainings, to share each country/jurisdictions’ tax related knowledge and to develop/enhance our skills to address various tax related issues.
Tax Planning
We aim to optimize tax efficiency in our transactions, but it is always based on the premise that the transactions undertaken will be based on the business activities, objectives, and have substance, and we will not engage in aggressive tax planning for the purpose of tax avoidance.
The Suntory Group has subsidiaries and affiliated entities located in countries/jurisdictions commonly referred to as tax havens. However, such entities either conduct business activities, have substances, or result from acquisitions, and not for the purpose of tax avoidance.
Utilization of Tax Incentives
In full compliance with the laws and regulations of each jurisdiction, we utilize applicable tax incentives to support the sustainable development of our business operations.
Tax Risk
We recognize that our business activities may give rise to tax related uncertainties. Our tax teams and relevant departments will collaborate, and will work hard to evaluate and manage potential tax risks. To minimize such uncertainties, when necessary, we will engage with the relevant tax authorities in each jurisdiction, to discuss interpretations of applicable tax laws.
Transfer Pricing
We set prices for all cross-border transactions within the Suntory Group in accordance with our transfer pricing policies, following the arm’s length principle. Further, when necessary, we will seek agreement in advance from tax authorities to manage potential tax risks to the extent possible.
Engagement with Tax Authorities
We are committed to develop and maintain open, transparent, and proactive relationships with the relevant tax authorities in each jurisdiction.
We provide timely and accurate disclosures in line with the relevant laws of the jurisdictions, and in the event inquiries are received from tax authorities, we will provide the required information. Further, in the event of any tax disputes, we will have open and constructive dialogue with tax authorities to achieve early agreement and resolution.
Established：January, 2017
Revised：January, 2026
Income Taxes Paid
| Japan | Overseas | Total | |
|---|---|---|---|
| 2023 | 34.7 | 39.4 | 74.1 |
| 2024 | 34.5 | 47.5 | 82.0 |
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*The above amounts are based on "Country-by-Country Report" submitted to Japanese Tax Authorities, and not directly related to the Consolidated Financial Statements.
