KITAJIMA CPA OFFICE

Group Reporting Support
for Japanese Subsidiaries

We support Japanese subsidiaries of foreign companies in preparing group reporting and communicating with their overseas parent company’s finance function.

Our clients typically have capable local accounting staff who handle Japanese bookkeeping, statutory accounts and tax filings without difficulty. What they often lack is the capacity to prepare parent company reporting packages, explain variances in English, and take part in finance meetings with headquarters. We cover that part.

We do not replace the local accounting team or the Japanese tax advisor. We work alongside them.

Services

What We Do

Group Reporting

Preparation of monthly and quarterly reporting packages in the parent company's required format. This includes conversion of figures prepared under Japanese GAAP to IFRS or US GAAP, mapping to the group chart of accounts, and entry into the reporting system used by headquarters.

Management Reporting

Actual vs budget, actual vs forecast, prior year comparison, KPIs and headcount reporting.

Variance Analysis

Analysis of movements in sales, gross margin, personnel costs, professional fees, one-off items and foreign exchange effects, based on discussion with the local team.

English Commentary

Written commentary accompanying the reporting package, prepared so that group finance can follow the explanation without further clarification.

Communication with Group Finance

Responding to queries from headquarters on accounting treatment, cost movements, forecasts, intercompany balances and tax matters.

Finance Meetings

Attendance at monthly finance meetings, quarterly reviews and budget or forecast meetings, including preparation of discussion points and follow-up on action items.

Closing Support

Management of the local closing timetable against the group reporting calendar.

Group Audit Support

Assistance with audit requests received from group auditors, including preparation of supporting documents and responses in English.

Scope

What We Do Not Do

Day-to-day bookkeeping, accounts payable and receivable processing, expense reimbursement, payroll, Japanese tax filings and statutory registrations remain with the subsidiary’s existing accounting team and tax advisor.

Profile

Group reporting seen from both sides.

Seiji Kitajima

Certified Public Accountant (Japan)
Certified Tax Accountant

Prior to establishing this practice, Mr. Kitajima worked in the accounting department of a major Japanese manufacturer with global operations, where he was responsible for reviewing and consolidating reporting packages submitted by the group’s overseas subsidiaries.

He subsequently worked in the Global Services Group of a major audit firm in Japan, on financial statement audits and internal control audits of Japanese subsidiaries of foreign companies.

Having seen group reporting from both sides — as the recipient at parent company level, and as auditor of the subsidiaries preparing it — he understands what headquarters is looking for and where local teams tend to lose time.

He established Kitajima CPA Office in 2021 and is based in the Keihanshin area (Osaka, Kobe and Kyoto) of Japan.

Fees

Ongoing monthly support starts from JPY 300,000 per month, depending on scope and volume. Quarterly-only, project-based and hourly arrangements are also available.

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