Increased consumption tax rate to 10% Introduction of reduced tax rate October 1 0:00

The consumption tax rate has been raised to 10%, and in line with this, a reduced tax rate has been introduced for the first time, with the tax rate for food and beverages excluding alcoholic beverages and restaurants set at 8%. The government has decided to allocate the income from the tax increase to social security enhancements such as free childhood education and childcare.

The consumption tax rate has been raised from 8% to 10%. Convenience stores nationwide have switched the tax rate for goods and services at midnight on the day.

In this tax rate increase, a reduced tax rate will be introduced for the first time, with the tax rate of food and beverages excluding alcoholic beverages and restaurants set at 8%, and if you make a cashless payment at a small or medium-sized store, a maximum of 5% will be returned in points, etc. The system has started.

For this reason, retailers such as supermarkets have been making preparations, such as switching to cash registers that correspond to different tax rates, and issuing guidance to inform customers that they can receive cashless points.

The consumption tax rate has been raised from 5% to 8% for the first time in five and a half years since April 2014, and the income from the tax increase is expected to be around 5.70 trillion yen.

Half of this will be used to improve social security, such as free childhood education and childcare, and lessen the burden of higher education, and the other half will be used for financial soundness to secure stable financial resources for social security To

As a result, the government wants to convert social security centered on the elderly to “all-generation” social security that is more directed at the child-rearing generation.

On the other hand, regarding the reduced tax rate and the point return system that are introduced for the first time, there are a number of voices that are complicated and difficult to understand.