Tax Policy

1. Compliance with tax laws and regulations

We comply with tax laws and regulations applicable to countries and regions we operate in, the OECD Guidelines, and other international taxation rules, and fulfill proper tax declaration and payment.

2. Tax governance

Our tax governance is ultimately the responsibility of the Chief Financial Officer (CFO) of Nidec Corporation, and its framework is mainly structured by the tax department of its headquarters. We promote the tax governance in collaboration with our regional headquarters, business units, and Nidec Group companies. In addition, we report, as necessary, significant tax risks to the Board of Directors of Nidec Corporation via the CFO.

3. Tax risk management

In any business transaction with a significant impact on taxes, and if any uncertainty in tax implication and position is expected, we seek advice from qualified external tax advisors, and, as necessary, consult with tax authorities in each country and region in advance, to minimize tax risks.

4. Tax planning

All tax planning must meet business purposes, and we strive to enhance our corporate value by utilizing tax incentives and other means to optimize tax costs. At the same time, we will not use tax havens for purpose of intentional tax avoidance or engage in any tax planning which deviates from the purposes of any tax laws and regulations.

5. Our relations with tax authorities

We will provide tax authorities in the countries and regions it operates in with information as requested in an appropriate manner and strive to build and maintain healthy relationships and mutual understanding.