Category Taxation in Japan

Japan to Automate Cryptocurrency Tax Returns

July 17, 2018 Taxation in Japan

Crypto-tax in JapanTOKYO – Japan is simplifying tax filing for cypto-traders, meaning only those making significant profits will be filing returns.

The National Tax Agency of Japan has disclosed its revised rules and systems for declaring profits from cryptocurrency transactions, unveiling a system which automates away a lot of the complexity of calculating the tax obligations.

The tax authority is now working on the implementation of an automated process which would automate the process of calculating the tax obligations arising from trades of cryptocurrencies made by Japanese taxpayers.

Previously traders were required to calculate the profits earned from cryptocurrency by comparing the value of the coin at the time of purchase against the value at the time of sale, and also compare that against what in...

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Japanese Tax Revenues At a 26 Year High

July 5, 2018 Taxation in Japan

Japanese tax revenuesTOKYO – Japan’s government has seen an incredible rise in tax revenues, with more funds coming in than any year in the last quarter of a century.

The government of Japan has announced that its tax collections for the 2017 fiscal year were the highest in the last 26 years.

The total amount of tax collected was approximately JPY 58.79 trillion (approximately USD 532 billion).

The total amount collected exceeded the government’s own projections by approximately JPY 1.1 trillion.

The revenue rise can be attributed primarily to rises in a 7.2 percent rise in income taxes, a 16.1 percent rise in corporate tax revenues, and a 1.7 percent increase in the collection of consumption taxes.

In addition to the higher-than-expected tax revenues, the government’s own sending was also below forecast ...

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Japan Approves “Sayonara Tax”

April 17, 2018 Taxation in Japan

Departure tax JapanTOKYO – Japan’s will soon charge you to leave the country, and will then use the money to get tourists into the countryside.

Last week the government of Japan approved a new departure tax, which has already come to be called the “sayonara tax”.

From January 7th, 2019, anybody departing the country by aeroplane or ship will be required to pay a tax of JPY 1 000.

The only notable exceptions to the tax will be children under the age of 2, and travellers who are leaving the country within 24 hours of their initial arrival.

The tax is expected to raise a total of JPY 6 billion, in the first 3 months of next year alone, with the total rising to as much as JPY 43 billion per year by 2020.

The government has already set forward rules which stipulate that any revenues gathered from the tax wi...

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Japan Eyes 50% Casino Tax

February 21, 2018 Taxation in Japan

Japan's casino taxesTOKYO – Japan’s upcoming casino rules could come with a hefty tax burden of up to 50 percent.

New information circulating in Japan’s national media indicate that the government intends to introduce some punitive taxes on the revenues earned in casinos across the country.

Casinos are not yet legal in Japan, and, currently, work is being done to legalize and allow the operation of Integrated Resorts which include casino facilities.

The new information indicates that these Resorts will face a tax on their revenues of 30 percent.

Any facilities which see revenues exceeding JPY 300 billion will face a tax of 40 percent, while those with revenues of JPY 400 billion will face an even more punitive tax rate of 50 percent.

The rates are much higher than the 7...

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Japan Sets Out on Tax Reform

December 15, 2017 Taxation in Japan

Japanese taxTOKYO – Japan will hikes taxes for some, while pushing big businesses to boost wages.

The government of Japan has approved a sweeping set of tax reform measures aimed at boosting tax revenues, while also increasing inflation in the country.

Japan has faced deflation for a significant period of time, and, further, an ageing population means that the country is expecting to feel the economic cost of a rising welfare bill in the near future.

As a means countering the unwanted effects of deflation and welfare costs, the government hopes to encourage large businesses to increase wages, in turn boosting consumer spending.

Under the scope of the tax reform, the rate of corporate income tax in Japan would fall from 30 percent to 20 percent for businesses which stop hoarding cash in order to dra...

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