Japan Tax

2 articles

Expense Tracking for Japan's Sole Proprietors: What You Actually Need

There’s a whole industry built on making expense tracking sound terrifying. Accounting software vendors, tax prep firms, YouTube influencers — they all want you to believe you need a complex system, a premium subscription, and probably a small accountant army to survive as a sole proprietor (個人事業主) in Japan.

You don’t. Here’s what the National Tax Agency actually wants, and a simple system that gets you there without losing your mind.

Japan's Accommodation Consumption Tax: 8% or 10%? A Small Operator's Guide

Running a guesthouse in Japan means dealing with Japan’s famously layered tax system. Consumption tax alone has two rates — 10% and a reduced 8% — and knowing which applies where can save you from years of quiet compliance errors.

The short answer: almost everything in your guesthouse is taxed at 10%. But there are edge cases worth knowing, and a threshold that means many small operators may not need to collect consumption tax at all.