Japan’s New Platform Taxation for Cross-Border E-Commerce (FY2026 Japanese Tax Reform Outline)
Japan Consumption Tax Reform on Cross-Border E-Commerce In December 2025, the Japanese ruling parties released the FY2026 Tax Reform Outline.The outline includes significant reforms to Japan Consumption Tax (JCT) aimed at ensuring proper taxation of cross-border e-commerce (CBEC) involving the sale of goods. Key Changes 1. Shift of JCT Filing and Payment Obligation to Large […]
Only the Importer of Record (IOR) is Eligible for Import JCT Refunds
In Japan, basically only the Importer of Record (IOR) is eligible to reund import consumption tax The taxpayer liable for the Japan Consumption Tax on imported goods withdrawn from a bonded area is considered the importer under Japanese customs law. Under customs law, the importer is defined as the taxpayer, known as the “Importer of […]
Japan JCT Tax Obligations for Foreign Corporations with a Capital of JPY 10 Million or More (Amendments to the Consumption Tax Law, April 2024)
Consumption tax in Japan applies to the transfer of assets conducted domestically by businesses, which means that non-residents and foreign corporations are also subject to consumption tax and are obliged to pay it if they transfer assets within Japan. In some cases, such as exempt businesses, it may not be necessary to pay the tax […]