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Japanese Stores Nationwide to Display Prices Including Sales Tax

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From April 1, a new law on price labeling will help visitors and residents enjoy a hassle-free shopping experience across Japan.

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New Law Requires Displayed Prices to Include Sales Tax

From April 1, a new Japanese law mandates that all displayed prices include an after-tax figure that includes sales tax. Whether in catalogues or on shelf tags, products and services may no longer be labeled in a format that includes a base price "plus tax."

Japanese Stores Nationwide to Display Prices Including Sales Tax

Two acceptable formats are displayed above in the right column, while the left shows common formats prohibited by the new law.

Stores selling food and drinks, which can be taxed at different rates depending on whether the customer is dining in the store, can choose to display multiple prices or choose one of the two rates.

Exceptions

Japanese Stores Nationwide to Display Prices Including Sales Tax

This new law does not apply to store or sale names, so "100 yen shops" and "two for 1,000 yen" sales are allowed, even if the final price of individual items exceeds that figure.

This change will make shopping easier for those visiting Japan, who might not recognize the Japanese character for sales tax or be familiar with sales tax rates in the country. On your next trip to Japan, you can look forward to easy-to-understand prices and a hassle-free shopping experience!

Written by Chris

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