You May No Longer Be Exempt from JCT (Japanese Consumption Tax)
Important Changes to the Japanese Tax Code You Need to Know About – 2024 Japanese Consumption Tax Amendments Attention foreign businesses exempt from consumption tax! This article highlights key changes and considerations from the 2024 Japanese consumption tax amendments that affect foreign corporations. The 2024 tax reforms in Japan brought some significant updates to the […]
Japanese Tax Authorities Releases FAQ (Ver9) on Crypto Taxes
Acquisition Cost Method Permitted for Specific Self-Issued Crypto Assets On December 20, 2024, the National Tax Agency (NTA) published a guidance titled “Tax Treatment of Crypto Assets (Information)”. This is the ninth time (the first was in 2017) that the NTA has officially expressed its views on calculating taxes for cryptocurrency in an FAQ format. […]
OpenAI Announces the Introduction of Qualified Invoices for Japanese Consumption Tax (JCT)
OpenAI Announces the Introduction of Qualified Invoices for Japanese Consumption Tax (JCT) OpenAI, renowned for its ChatGPT platform, enjoys significant popularity in Japan, with a substantial number of users subscribing to its services. In November 2024, OpenAI informed its existing Japanese users via an email (in English) that it would begin collecting consumption tax from January 1, […]
How to Display the Japanese Consumption Tax (JCT) Amount on a JCT Qualified Invoice Denominated in a Foreign Currency
How to Display the Japanese Consumption Tax (JCT) Amount on a JCT Qualified Invoice Denominated in a Foreign Currency One of the questions we are asked frequently is “My invoice is denominated in USD (or any other currency besides JPY) but do I also have to show the amounts in JPY?” In this article, we […]
How Long Does it Take to Register as a JCT Qualified Invoice Issuer
How Long Does it Take to Register as a JCT Qualified Invoice Issuer At JPA, we receive a wide range of questions from our clients regarding the Japanese Invoice System. One of the most common is “How long it takes to complete JCT (Japanese Consumption Tax) registration”. In this article, we will explain how long […]
How to Meet ACP / IOR Requirements to Deduct Import Consumption Taxes when Exporting to Japan
Summary Starting October 1, 2023, the requirements to deduct import consumption taxes that companies pay when exporting to Japan have changed. In order to deduct import consumption taxes that you paid in your Japanese consumption tax (JCT) return, you will need to be the Importer of Record (IOR). If you do not have a physical […]
Japanese Tax Authorities Releases FAQ (Ver8) on Crypto Taxes
Acquisition Cost Method Permitted for Specific Self-Issued Crypto Assets On December 25, 2023, the National Tax Agency (NTA) published a guidance titled “Tax Treatment of Crypto Assets (Information)”. This is the seventh time (the first was in 2017) that the NTA has officially expressed its views on calculating taxes for cryptocurrency in an FAQ format. […]
The JCT Qualified Invoice Issuer Registration Deadline has been Extended
It has been officially announced that the deadline for the Japanese Consumption Tax Qualified Invoice Issuer registration has been extended. The invoice system is scheduled to start on October 1, 2023. In order to become a qualified invoice issuer, it was necessary to complete the registration application by March 31, 2023. However, the deadline has […]
Japanese Tax Authorities Releases FAQ (Ver7) on Crypto Taxes
Crypto Traders Beware! Significant Changes In Determining Whether Income is Business Related or Not On December 22, 2022, the National Tax Agency (NTA) published a guidance titled “Tax Treatment of Crypto Assets (Information)”. This is the seventh time (the first was in 2017) that the NTA has officially expressed its views on calculating taxes for […]
Japanese Tax Authorities Release FAQ – Year End Mark-to-Market of Cryptos Held by Entities
This FAQ Focuses on Topics Related to Year End Mark-to-Market of Cryptos for Corporation Tax Purposes On January 20, 2023, the National Tax Agency (NTA) published a guidance titled “Year End Mark-to-Market Treatment of Cryptocurrencies Held by Entities (Information)”. The NTA has been releasing Crypto Tax FAQs every year since 2017. This FAQ (M-t-M FAQ) […]