TAX NEWS - June 2010

Shin-Etsu Chemical: To Receive Y11.9 Bln In Tax Refund

Shin-Etsu Chemical Co. Ltd. (4063.TO) said Friday it will receive a Y11.9 billion tax refund after Japanese and U.S. authorities settled a dispute over the company's taxable income during the five years through March 2006.

The refund will increase the Japanese chemical company's net profit for the current fiscal year ending March 2011, it said, without giving the amount of the expected increase.

Shin-Etsu paid Y11.0 billion in additional tax in February 2008 after an order from the Tokyo Regional Taxation Bureau. But the company later contested the order, saying it was being taxed twice on the same income by U.S. and Japanese authorities.