DNP Group Tax Policy

Dai Nippon Printing Co., Ltd. (DNP) and our Group companies establish the following policy based on the DNP group Code of Conduct.

• Basic Stance
  • Based on laws, regulations and social ethics, and by constantly maintaining a fair and equitable attitude, we will overcome social challenges and contribute to the maintenance and development of an orderly and free competitive market. At the same time in order to continue to pursue business activities that meet the expectations of our consumers, we will endeavor to further permeate and entrench corporate ethics throughout the entire DNP Group.
  • The DNP Group will contribute to the socio-economic development of the countries and regions in which we do business, by complying with relevant tax laws and regulations and social ethics, and making appropriate tax payments.
• Tax Governance
  • The DNP Group interprets the enhancement of corporate governance, including internal control systems, as a priority management issue in order for us to contribute to the sustainable development of society, improve our corporate value, and become a company capable of winning the trust of all our stakeholders.
  • We will make efforts to comprehensively improve corporate governance by implementing thorough training and education for all employees throughout the DNP Group. In addition, we will carry out accurate management decisionmaking, engage in appropriate and timely business execution, while also constructing and operating supervisory and audit systems.
  • Through efforts such as these we will strengthen tax governance and work to reduce tax risk.
• Optimizing the Tax Burden
  • At the DNP Group, we will make use of systems including measures that allow us to mitigate the tax burden, in a right and scrupulous manner.
  • Our view is that engaging in transactions involving actual economic activities helps reduce the risk of unexpected tax demands. As a result, we will not engage in any transaction that lacks economic rationale, such as tax avoidance schemes that deviate from the purpose of relevant laws and regulations.
• Building Good Relations with the Tax Authorities
  • The DNP Group will remain focused on building good relationships with the tax authorities by making timely and appropriate tax-related reports and heightening transparency by cooperating with their requests.
  • In addition, in cases where a transaction of which tax interpretation is uncertain occurs, we will consult with an external expert, such as an advising tax accountant. If necessary, we will take steps to reduce tax risk by making advance enquiries to the tax authorities.
• International Taxation
  • The DNP Group will continue to make appropriate tax payments in each country and region in which we do business by conducting our transactions at arm’s length pricing based on the OECD Transfer Pricing Guidelines.
  • We have established Group companies in each country and region for the purpose of conducting business with actual economic activities involved. We will not establish any company in a tax free or low tax country or region with the objective of avoiding taxes.

Established: March 2021