Professional advice on taxation should be sought and major international accounting companies operate in Japan and have English-speaking staff. A ten per cent consumption tax is levied on all purchases in Japan, excluding food and non-alcoholic drinks (which are taxed at eight per cent). Some hotels charge eight to 10 per cent service tax on accommodation.
Businesses operating in Japan will be subject to a range of taxes including:
- corporate tax
- income tax
- withholding tax
- local tax
- residents tax
Liquor taxes, expressed in specific terms per quantity, are levied on beverages, whether imported or domestically produced.
Excise tax is levied on tobacco imports.