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Tax Policy of Recruit Group

Basic Policy:

Recruit Holdings Co. Ltd. and its consolidated subsidiaries (Hereinafter referred to as "each company of the Group") shall, as a fundamental principle, conduct their business activities in compliance with the tax laws of all relevant jurisdictions, and shall strive to maximize shareholder value through minimizing tax risks as well as optimizing tax costs.

1. Minimization of Tax Risks

Each company of the Group, in compliance with the domestic tax laws of all relevant countries, international taxation rules such as transfer pricing taxation rules and Controlled Foreign Companies rules, and OECD (Organization for Economic Co-operation and Development) taxation guidelines, shall establish an internal infrastructure system in order to identify tax risks in an appropriate and timely manner. Through conducting necessary and sufficient analysis, each company of the Group seeks to improve and maintain the quality of its tax compliance so as to minimize tax risks.

2. Optimization of Tax Costs

Each company of the Group shall seek to optimize tax costs through measures such as the application of the benefits of preferred tax regimes, the avoidance of double taxation, and the adoption of tax consolidation, etc. which are permitted under the tax law of relevant jurisdictions. Each company of the Group highly values legal compliance and business rationality. Consequently, the use of artificial, tax-avoidant structures that are devoid of substance or business purpose shall under no circumstances be contemplated.

3. Tax Filing and Tax Payment

Each company of the Group shall appropriately retain the necessary books and evidence, duly file its tax returns, and pay taxes to the competent tax authorities according to the tax laws of the relevant jurisdiction.

4. Relationship with Tax Authorities

Each company of the Group shall keep the state of its tax compliance transparent and accountable, adequately provide information upon request from the relevant tax authorities, and endeavor to maintain a healthy and positive relationship with said authorities through proactive communication.