Japan VAT calculator

Value added tax (VAT) is called Consumption Tax (CT) in Japan. This is very simple Japanese Consumption Tax calculator. It can be used as well as reverse CT calculator so it is easy to calculate Consumption Tax inclusive and exclusive prices

Select regular (10%) or reduced (8%) Consumption Tax rate and then enter any figure you know:

  • VAT value – price including VAT and price excluding VAT will be calculated
  • price including VAT – VAT value and price excluding VAT will be calculated
  • price exclusive VAT – VAT value and price including VAT will be calculated
 

What is Consumption Tax (VAT) rate in Japan?

Current Consumption Tax rate is 10% for most goods and services. There is reduced CT rate (8%) for some goods and services.

Consumption Tax consists of two parts – national tax and local tax:

  • Standard tax rate: 10% = 7.8% national tax + 2.2% local tax
  • Reduced tax rate: 8% = 6.24% national tax + 1.76% local tax

Reduced Consumption Tax in Japan

Reduced CT rate is applied for:

  • Supplies of food and drinks, excluding alcoholic beverages and dining out
  • Subscriptions to newspapers (limited to newspapers that are issued at least twice a week and feature information on general topics such as politics, economics, society and culture)

CT exemptions

  • Exports of goods
  • Exports of services
  • International transportation of passengers and cargo
  • Sales in export shops
  • Supplies to foreign embassies and legations situated in Japan

Value Added Tax in Japanese

Value Added Tax in Japanese is called Shouhizei (消費税).

Tax free shopping in Japanese

Tax free shopping is available for visitors (tourists) in Japan. Purchases for ¥5,000 or more (before taxes) qualify for a tax refund. I.e. it must be at least ¥5,500 with tax included.

History of Consumption Tax in Japan

YearStandard rateReduced rate
2019 October10%8%
2014 April8%
1997 April5%
19893%