Alphabet Inc. (NASDAQ:GOOG) Japan failed to report ¥3.5 billion in income
Tokyo tax authorities have found that Google Japan failed to declare about ¥3.5 billion in income for 2015, a source close to the matter said Tuesday.
The authorities are believed to have determined that the Japan unit of the American tech giant reduced its income by shifting locally derived ad revenue to Google’s branch in Singapore, where tax rates are lower.
The Japanese unit has already paid back taxes and penalties amounting to some ¥1 billion, the source said.
Although the unit sold advertising and offered consulting services domestically, payments by its clients were allegedly made to the Singapore entity.
The Japan unit received remunerations equal to its total business expenses plus an 8 percent commission from the Singapore office, according to the source.
The Tokyo Regional Taxation Bureau pointed out that the company’s remunerations failed to match the ad revenue, the source said.
The alleged understatement of income at the Google unit came amid growing concerns that multinational tech giants including Apple Inc. are reducing their tax burdens by transferring profits to countries with lower corporate tax rates.
After the tax office highlighted the questionable accounting practices for 2015, Google Japan voluntarily reported an extra ¥6 billion in corporate income for 2016, the source said.
Google Japan did not immediately respond to a request for comment.
The Japanese unit was established in 2001 as a stock company but became a limited liability company in 2016, meaning it is not required to release financial earnings reports.
Overall, the bias in prices is: Downwards.
The projected upper bound is: 1,144.32.
The projected lower bound is: 1,010.00.
The projected closing price is: 1,077.16.
A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 22 white candles and 28 black candles for a net of 6 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 39.7813. This is not an overbought or oversold reading. The last signal was a sell 2 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 55.95. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 63 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 76. This is not a topping or bottoming area. The last signal was a sell 3 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 11 period(s) ago.
Rex Takasugi – TD Profile
ALPHABET INC C closed up 32.460 at 1,077.150. Volume was 21% below average (neutral) and Bollinger Bands were 6% wider than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 1,060.13 1,049.83 1,113.39
Volatility: 42 41 33
Volume: 1,599,899 1,859,821 1,684,251
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
ALPHABET INC C is currently 3.3% below its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of GOOG.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on GOOG.O and have had this outlook for the last 6 periods. The security price has set a new 14-period high while our momentum oscillator has not. This is a bearish divergence.