Introducing consumption tax obligation for large IT firms with abroad apps | NHK

The smartphone app market continues to develop due partially to the rising recognition of on-line video games. The Liberal Democratic Party and New Komeito Party’s tax reform define for subsequent fiscal yr, which was accepted on the 14th, states that the tax legal responsibility for gross sales of apps by abroad enterprise operators shall be elevated by firms resembling IT majors, somewhat than app sellers. The coverage consists of the introduction of a brand new system that shall be imposed on firms working “stores”. The purpose is to remove the imbalance between home and abroad companies concerning consumption tax.

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