Lawmakers in Japan will reportedly implement a sales tax on content downloaded from abroad as early as 2015.
Japan collects a five percent tax on physical products purchased from overseas, as well as domestic firms’ sale of DLC. No duty collection system currently exists for online sales from abroad.
Authorities had initially planned to adopt the change this spring, in conjunction with Japan’s scheduled consumption tax rise from five per cent to eight per cent. But with more time needed to formulate the new tax, the government plans close the loophole by October 2015, when the consumption tax will rise to ten per cent.
The government’s tax reform panel will begin discussions as early as next month to incorporate the online levy into their 2015 tax reform proposal.