With the start of the consumption tax invoice system in October next year, it is expected that businesses that are currently exempt from paying tax will also need to pay more.
It turns out that the government and ruling parties are coordinating in the direction of introducing measures to reduce tax payments and administrative burdens in order to hasten the establishment of the system.
Consumption tax received by retailers from customers is paid after deducting the consumption tax paid by the store to suppliers.
The newly introduced "invoice" is an official invoice that proves the tax rate and amount, and businesses with sales of 10 million yen or less, which are currently exempt from tax payment, are requested to use the invoice from their business partners. It is expected that the number of cases will increase.
However, if you register with the tax office to use the invoice, you will be obligated to pay tax, and there are concerns that the burden on businesses will increase.
For this reason, the government and ruling parties are coordinating in the direction of establishing mitigation measures to reduce the amount of tax.
Specifically, 80% of the consumption tax received from customers will be uniformly deducted.
This will save time in calculating the tax amount.
This measure will be implemented for three years from October next year, when the invoice system will be introduced, in order to hasten the establishment of the system.
In addition, for business operators with annual sales of 100 million yen or less, if the purchase amount is less than 10,000 yen, we are adjusting to implement measures that do not require invoices for 6 years.
Both the Liberal Democratic Party and Komeito have decided to proceed with consideration toward the compilation of the ruling party's tax reform outline.