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Old May 22, 2023, 11:56 pm
  #1  
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Revamp of tax free shopping for tourists.

https://japantoday.com/category/nati...illicit-resale


"Japan is considering overhauling its tax-free shopping scheme for foreign visitors in response to a growing number of cases of tax-free items being resold overseas for profit at tax-inclusive prices, sources close to the matter said Monday.
n Japan, travellers are exempted from paying the consumption tax when purchasing goods totaling 5,000 yen or more as long as they intend to use the items in their home countries.But there have been cases where travellers purchased massive amounts of tax-free items for resale purposes, the sources said.Last year, Apple Inc's Japan branch was slapped with 14 billion yen in additional taxes after authorities found it sold iPhones and other items in bulk without charging the consumption tax to foreign visitors suspected of purchasing the products for resale purposes."


I Guess the shopping vans that double park in front of the Apple store on Omotaesando will soon be a thing of the past.
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Old May 23, 2023, 2:30 pm
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Apple doesn't sell tax free anymore. I needed a new phone anyway so I paid the consumption tax. Even with tax added it was still a better deal then buying a new Apple phone in the European Union.

Big Camera was advertising with tax free Apple products, but they were trying to sell a simlocked phone with some kind of subscription service which is not interesting for people from abroad.
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Old May 23, 2023, 4:49 pm
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As long as the items are actually exported and don't end up being used domestically, why would the gov't care?
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Old May 23, 2023, 8:46 pm
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Originally Posted by Steve M
As long as the items are actually exported and don't end up being used domestically, why would the gov't care?
I think that's the real issue - Controls are lax and tax-free purchases are being resold domestically. I don't think the article got it right.
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Old May 24, 2023, 1:10 am
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Wish the tax would just be refunded at checkout instead of needing to go to a separate tax-refund counter (which I forget to do every single time) within 24 hours of purchase.
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Old May 24, 2023, 2:29 am
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Originally Posted by richard_dong
Wish the tax would just be refunded at checkout.
Depending on the store, I think that's happening now, isn't it?
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Old May 24, 2023, 2:50 am
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Originally Posted by jib71
Depending on the store, I think that's happening now, isn't it?
Maybe, but at least the stores I went to, I needed to go to some tax refund counter. Last time I went was this March.
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Old May 24, 2023, 4:27 am
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Originally Posted by richard_dong
Maybe, but at least the stores I went to, I needed to go to some tax refund counter. Last time I went was this March.
mainly in the bigger department stores, smaller stores do it at the counter.
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Old May 25, 2023, 5:55 am
  #9  
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Originally Posted by JRRM
Apple doesn't sell tax free anymore. I needed a new phone anyway so I paid the consumption tax. Even with tax added it was still a better deal then buying a new Apple phone in the European Union.

Big Camera was advertising with tax free Apple products, but they were trying to sell a simlocked phone with some kind of subscription service which is not interesting for people from abroad.
You mean that at one point I didn't had to pay sales tax upfront at the Apple Store?
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Old May 25, 2023, 5:27 pm
  #10  
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Originally Posted by lsquare
You mean that at one point I didn't had to pay sales tax upfront at the Apple Store?
Yep, all through the pandemic. Fined 14 billion JPY. It's surprising that the other brands haven't been fined.
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Old May 25, 2023, 6:57 pm
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Originally Posted by Q Shoe Guy
Yep, all through the pandemic. Fined 14 billion JPY. It's surprising that the other brands haven't been fined.
Isn't the tax included in the price? I don't recall any Japanese store adding tax at the point of sale unlike in North America.
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Old May 25, 2023, 7:13 pm
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Originally Posted by lsquare
Isn't the tax included in the price? I don't recall any Japanese store adding tax at the point of sale unlike in North America.
Why would that matter? If the advertised price includes the tax, then you get a discount. That's also what is written in the article "At present, visitors who stay in Japan for less than six months can purchase merchandise with the consumption tax already deducted. The government is now considering shifting to a scheme where they pay tax-inclusive prices and apply for refunds afterward, the sources said."
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Old May 25, 2023, 7:24 pm
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Originally Posted by freakazoid
Why would that matter? If the advertised price includes the tax, then you get a discount. That's also what is written in the article "At present, visitors who stay in Japan for less than six months can purchase merchandise with the consumption tax already deducted. The government is now considering shifting to a scheme where they pay tax-inclusive prices and apply for refunds afterward, the sources said."
Because most people would assume the tax is included. How would they know it's tax free when prices are typically tax inclusive?
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Old May 25, 2023, 7:39 pm
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Originally Posted by lsquare
Because most people would assume the tax is included. How would they know it's tax free when prices are typically tax inclusive?
Because you have to ask to get the tax free purchase and you have to show your passport to qualify? They're not secretly discounting your purchase.
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Old May 25, 2023, 7:47 pm
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Originally Posted by freakazoid
Because you have to ask to get the tax free purchase and you have to show your passport to qualify? They're not secretly discounting your purchase.
Maybe you shouldn't assume that everyone here knows how the tax-free purchase scheme works in Japan?
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