Regulation for Enforcement of the Consumption Tax Act

Special Provisions on the Retention Period for Documents, etc. Proving Export Transactions, etc. of a Corporation with an Extended Filing DeadlineFiling Returns by Means of Electronic Data Processing System

With respect to the application of Article 5, paragraphs (1) and (3), Article 8, paragraph (5), Article 9, paragraph (7), Article 16, paragraphs (1) through (3), Article 19, and Article 26-7, paragraphs (1) and (4) whereWhere a business operator prescribed in Article 45-246-2, paragraph (1) of the Act applies, the phrase "the day on which two months have elapsed" in Article 5, paragraph (1) is deemed to be replaced with "the day on which two months have elapsed (where Article 45-2, paragraph (1) of the Act applies, the day following the deadline for filing the consumption tax return prescribed in that paragraph for the taxable period; the same applies in paragraph (3))", the phrase "the day on which two months have elapsed" in Article 8, paragraph (5) and Article 9, paragraph (7) with "the day on which two months have elapsed (where Article 45-2, paragraph (1) of the Act applies, the day following the deadline for filing the consumption tax return prescribed in that paragraph for the taxable period)", the phrase "the day on which two months (one month where the residual assets of a corporation in liquidation have been determined; the same applies in the following paragraph and paragraph (3)) have elapsed" in Article 16, paragraph (1) with "the day on which two months (one month where the residual assets of a corporation in liquidation have been determined; the same applies in the following paragraph and paragraph (3)) have elapsed (where Article 45-2, paragraph (1) of the Act applies, the day following the deadline for filing the consumption tax return prescribed in that paragraph for the taxable period; the same applies in the following paragraph and paragraph (3))", the phrase "the day on which two months (one month where the residual assets of a corporation in liquidation have been determined) have elapsed" in Article 19seeks to provide, pursuant to that paragraph, the matters stated in a return or the matters stated in attached documents prescribed in that paragraph (hereinafter in this Article referred to respectively as "matters stated in a return" or "matters stated in attached documents") using an electronic data processing system (meaning the electronic data processing system prescribed in that paragraph; the same applies hereinafter in this Article and the following Article), the notification and other procedures are to be in accordance with "the day on which two months (one month where the residual assets of a corporation in liquidation have been determined) have elapsed (where Article 45-2, paragraph (1) of the Act applies, the day following the deadline for filing the consumption tax return prescribed in that paragraph for the taxable period)", and the phrase "have elapsed" in Article 26-7, paragraph (1) with "have elapsed (where Article 45-2, paragraph (1) of the Act applies, the day following the deadline for filing the consumption tax return prescribed in that paragraph for the taxable period; the same applies in paragraph (4))"provisions of Article 4, paragraphs (1) through (3), (6) and (7) (Prior Notification, etc.) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc. (Ministry of Finance Order No. 71 of 2003).

The notification under Article 4, paragraph (1) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc. the provisions of which are followed pursuant to the preceding paragraph, must be made, where a business operator (excluding a trustee business operator prescribed in Article 15, paragraph (3) of the Act) comes to fall under a case set out in the following items, within one month (within two months in the case set out in item (iii)) from the day specified in the relevant item:

where the amount of capital or contributions of a business operator that is a corporation (excluding a foreign corporation prescribed in Article 2, item (iv) (Definitions) of the Corporation Tax Act) (excluding a business operator that is exempt from the obligation to pay consumption tax under the main clause of Article 9, paragraph (1) of the Act) comes to exceed 100 million yen: the day on which it comes to exceed that amount;

where a specified corporation prescribed in Article 46-2, paragraph (2) of the Act comes to be no longer subject to the application of the main clause of Article 9, paragraph (1) of the Act: the first day of the taxable period for which it is no longer subject to that application;

where a specified corporation prescribed in Article 46-2, paragraph (2) of the Act (excluding a business operator that is exempt from the obligation to pay consumption tax under the main clause of Article 9, paragraph (1) of the Act) is newly established: the day of its establishment.

The method specified by Ministry of Finance Order prescribed in Article 46-2, paragraph (1) of the Act is, according to the categories of matters set out in the following items, the method specified in the relevant item:

matters stated in a return: the method of entering and transmitting those matters stated in a return using an electronic data processing system;

matters stated in attached documents: the following methods:

the method of entering and transmitting those matters stated in attached documents using an electronic data processing system;

the method of transmitting, using an electronic data processing system, an electronic or magnetic record prescribed in Article 3, item (vii) (Definitions) of the Act on the Advancement of Government Administration Processes That Utilize Information and Communications Technology (Act No. 151 of 2002) that has been created by reading a document stating those matters stated in attached documents with a scanner or by a similar method (limited to one that has been read or created by those methods so as to satisfy the requirements set out in the items of Article 5, paragraph (2) (Applications, etc. by Means of Electronic Data Processing System) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc.) (limited to the case where the method set out in (a) cannot be used on the computer used by the National Tax Agency).

The provision of matters stated in a return or matters stated in attached documents that a business operator prescribed in Article 46-2, paragraph (1) of the Act makes using an electronic data processing system pursuant to that paragraph must be made as provided in Article 5, paragraph (1) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc..

The file format for the transmission of matters stated in a return or matters stated in attached documents by the methods specified in the items of paragraph (3) is to be specified by the Commissioner of the National Tax Agency.

Where a business operator prescribed in Article 46-2, paragraph (1) of the Act provides matters stated in a return or matters stated in attached documents using an electronic data processing system pursuant to that paragraph, the business operator must make its title clear in accordance with the provisions of Article 6, paragraph (1) (excluding the portion relating to item (v)) (Measures to Make Clear Name, etc. in Applications, etc.) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc..

In addition to what is provided for in the preceding paragraphs, the necessary matters concerning procedures relating to the use of an electronic data processing system and the details of the procedures are as provided separately.

Matters to Be Stated in the Written Application to the Effect That the Special Provisions on for Cases Where Filing Returns by Means of an Electronic Data Processing System Is Difficult Will Apply, etc.

Where a business operator prescribed in Article 46-2, paragraph (1) of the Act seeks to provide, pursuant to that paragraph, the matters stated in a return or the matters stated in attached documents prescribed in that paragraph (hereinafter in this Article referred to respectively as "matters stated in a return" or "matters stated in attached documents") using an electronic data processing system (meaning the electronic data processing system prescribed in that paragraph; the same applies hereinafter in this Article and the following Article), the notification and other procedures are to be in accordance with the provisions of Article 4, paragraphs (1) through (3), (6) and (7) (Prior Notification, etc.) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc. (Ministry of Finance Order No. 71 of 2003).The matters specified by Ministry of Finance Order prescribed in Article 46-3, paragraph (2) of the Act are the following:

the applicant's title, place for tax payment, and corporate number (for a person that has no corporate number, title and place for tax payment);

the day on which circumstances arose that make it difficult to use an electronic data processing system due to a failure of a telecommunications line, a disaster or any other reason;

any other matters for reference.

The notification under Article 4, paragraph (1) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc. the provisions of which are followed pursuant to the preceding paragraph, must be made, where a business operator (excluding a trustee business operator documents specified by Ministry of Finance Order prescribed in Article 1546-3, paragraph (3)(2) of the Act) comes to fall under a case set out in the following items, within one month (within two months in the case set out in item (iii)) from the day specified in the relevant item: are documents that make clear that it is difficult to use an electronic data processing system due to a failure of a telecommunications line, a disaster or any other reason.

where the amount of capital or contributions of a business operator that is a corporation (excluding a foreign corporation prescribed in Article 2, item (iv) (Definitions) of the Corporation Tax Act) (excluding a business operator that is exempt from the obligation to pay consumption tax under the main clause of Article 9, paragraph (1) of the Act) comes to exceed 100 million yen: the day on which it comes to exceed that amount;

where a specified corporation prescribed in Article 46-2, paragraph (2) of the Act comes to be no longer subject to the application of the main clause of Article 9, paragraph (1) of the Act: the first day of the taxable period for which it is no longer subject to that application;

where a specified corporation prescribed in Article 46-2, paragraph (2) of the Act (excluding a business operator that is exempt from the obligation to pay consumption tax under the main clause of Article 9, paragraph (1) of the Act) is newly established: the day of its establishment.

The methodmatters specified by Ministry of Finance Order prescribed in Article 46-246-3, paragraph (1)(8) of the Act is, according to the categories of matters set out in the following items, the method specified in the relevant itemare the following:

matters stated in a return: the method of entering and transmitting those matters stated in a return using an electronic data processing systemthe applicant's title, place for tax payment, and corporate number (for a person that has no corporate number, title and place for tax payment);

matters stated in attached documents: the following methods:the day on which the approval under Article 46-3, paragraph (1) of the Act was obtained or on which the approval was deemed to have been given;

the method of entering and transmitting those matters stated in attached documents using an electronic data processing system;

the method of transmitting, using an electronic data processing system, an electronic or magnetic record prescribed in Article 3, item (vii) (Definitions) of the Act on the Advancement of Government Administration Processes That Utilize Information and Communications Technology (Act No. 151 of 2002) that has been created by reading a document stating those matters stated in attached documents with a scanner or by a similar method (limited to one that has been read or created by those methods so as to satisfy the requirements set out in the items of Article 5, paragraph (2) (Applications, etc. by Means of Electronic Data Processing System) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc.) (limited to the case where the method set out in (a) cannot be used on the computer used by the National Tax Agency).

The provision of matters stated in a return or matters stated in attached documents that a business operator prescribed in Article 46-2, paragraph (1) of the Act makes using an electronic data processing system pursuant to that paragraph must be made as provided in Article 5, paragraph (1) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc..

The file format for the transmission of matters stated in a return or matters stated in attached documents by the methods specified in the items of paragraph (3) is to be specified by the Commissioner of the National Tax Agency.

Where a business operator prescribed in Article 46-2, paragraph (1) of the Act provides matters stated in a return or matters stated in attached documents using an electronic data processing system pursuant to that paragraph, the business operator must make its title clear in accordance with the provisions of Article 6, paragraph (1) (excluding the portion relating to item (v)) (Measures to Make Clear Name, etc. in Applications, etc.) of the Ministerial Order on the Promotion of Administration Utilizing Information and Communications Technology Pertaining to National Tax Laws and Regulations, etc..

In addition to what is provided for in the preceding paragraphs, the necessary matters concerning procedures relating to the use of an electronic data processing system and the details of the procedures are as provided separately.

The matters specified by Ministry of Finance Order prescribed in Article 46-3, paragraph (2) of the Act are the following:

the applicant's title, place for tax payment, and corporate number (for a person who has no corporate number, the title and place for tax payment);

the day on which circumstances arose that make it difficult to use an electronic data processing system due to a failure of a telecommunications line, a disaster, or another reason;

any other matters for reference.

The documents specified by Ministry of Finance Order prescribed in Article 46-3, paragraph (2) of the Act are documents that make clear that it is difficult to use an electronic data processing system due to a failure of a telecommunications line, a disaster, or another reason.

The matters specified by Ministry of Finance Order prescribed in Article 46-3, paragraph (8) of the Act are the following:

the applicant's title, place for tax payment, and corporate number (for a person who has no corporate number, the title and place for tax payment);

the day on which the approval under Article 46-3, paragraph (1) of the Act was obtained or the day on which that approval is deemed to have been given;

the reason for seeking to cease the application of Article 46-3, paragraph (1) of the Act;

any other matters for reference.

the reason for which it intends to cease to be subject to the application of Article 46-3, paragraph (1) of the Act;

any other matters for reference.

where the notifier is a corporation (including an association or foundation without legal personality; the same applies in item (vi), (b) and Article 26-4), the days on which the business year begins and ends;

the applicant's name or title (including the name of the representative; the same applies hereinafter in this item, in item (i) of the following paragraph and in paragraph (3), item (i)Article, except in the following item) (for a foreign business operator, limited to that written in Japanese and English; the same applies hereinafter in this Article), place for tax payment (if the place for tax payment differs from the address or residence or the location of the head office or principal office (hereinafter in this item referred to as "address, etc."), the place for tax payment and the address, etc. (for a foreign business operator, limited to that written in Japanese and English); the same applies hereinafter in this item), and corporate number (for a person that has no corporate number, the name or title and place for tax payment);

where the applicant is a specified foreign business operator (meaning a specified foreign business operator prescribed in Article 57-2, paragraph (5), item (i) of the Act; the same applies in the following item and Article 26-10, paragraph (1)), a statement to that effect, the name or title of the tax representative (meaning a tax representative prescribed in Article 57-2, paragraph (5), item (ii), (a) of that paragraphthe Act; the same applies in item (i) of the following Articlehereinafter in this Chapter), and the title and location of the tax representative's office;

where the applicant is a foreign business operator other than a specified foreign business operator, the location of the office, place of business or other equivalent facility relating to transfers, etc. of assets conducted in Japan (hereinafter in this Chapter referred to as an "office or similar place" in Article 26-7, paragraph (1) and Article 26-9);

a document (meaning the document prescribed in Article 57-2, paragraph (6), item (ii), (c) of the Act; the same applies in Article 26-11, item (i)) certifying that the tax representative has authority for tax agency (meaning the tax agency prescribed in Article 57-2, paragraph (5), item (ii), (a) of the Act) regarding the applicant's consumption tax;

An intermediary, etc. (meaning an intermediary, etc. prescribed in Article 70-12, paragraph (1) of the Order; the same applies in the following paragraph and paragraph (3)) or enforcement agency (meaning an enforcement agency prescribed in Article 70-12, paragraph (5) of the Order; the same applies in the following paragraph and paragraph (3)) must organize copies of the qualified invoices, etc. delivered pursuant to Article 70-12, paragraph (1) of the Order (meaning the qualified invoices, etc. prescribed in Article 70-12, paragraph (1) of the Order; the same applies in the following paragraph) or of the qualified invoices delivered pursuant to Article 70-12, paragraph (5) of the Order (meaning the qualified invoices prescribed in Article 57-4, paragraph (1) of the Act; the same applies in the following paragraph), or the electronic or magnetic records relating to the matters to be stated in those documents that it has provided (meaning electronic or magnetic records prescribed in Article 57-4, paragraph (5) of the Act; hereinafter the same applies in this Article), , and retain them at its place for tax payment or at the location of the office or similar place relating to the transaction, for seven years from the day on which two months (one month, where the residual assets of a corporation in liquidation have been finalized) have elapsed from the day following the last day offollowing the deadline for filing the final return for the taxable period that includes the day on which it delivered or provided them.

The retention under paragraph (1) (excluding the retention of electronic or magnetic records under that paragraph) during the period on or after the day on which five years have elapsed from the day on which two months have elapsed from the day following the last day offollowing the deadline for filing the final return for the taxable period prescribed in that paragraph may be by a method specified by the Minister of Finance.

The matters specified by Ministry of Finance Order prescribed in Article 57-7, paragraph (2) of the Act are the following:

the applicant's name or title (including the name of the representative; the same applies hereinafter in this Article, except in the following item) (for a foreign business operator, limited to that written in Japanese and English; the same applies hereinafter in this Article), place for tax payment (if the place for tax payment differs from the address or residence or the location of the head office or principal office (hereinafter in this item referred to as "address, etc."), the place for tax payment and the address, etc. (for a foreign business operator, limited to that written in Japanese and English); the same applies hereinafter in this item), and corporate number (for a person that has no corporate number, the name or title and place for tax payment);

where the applicant is a specified foreign business operator, a statement to that effect, the name or title of the tax representative, and the title and location of the tax representative's office;

where the applicant is a foreign business operator other than a specified foreign business operator, the location of the office or similar place relating to transfers, etc. of assets conducted in Japan;

any other matters for reference.

A written notification under Article 57-7, paragraph (8) of the Act must state the following matters:

the notifier's name or title, place for tax payment, registration number (meaning the registration number prescribed in Article 57-7, paragraph (4) of the Act; the same applies hereinafter in this item and in item (i) of the following paragraph), and corporate number (for a person that has no corporate number, the name or title, place for tax payment and registration number);

the details of the change;

any other matters for reference.

A written notification under Article 57-7, paragraph (10), item (i) of the Act must state the following matters:

the notifier's name or title, place for tax payment, registration number, and corporate number (for a person that has no corporate number, the name or title, place for tax payment and registration number);

a statement requesting the cancellation of the registration under Article 57-7, paragraph (1) of the Act;

any other matters for reference.

The documents specified by Ministry of Finance Order prescribed in Article 70-15 of the Order are the following documents:

a document certifying that the tax representative has authority for tax agency regarding the applicant's consumption tax;

other documents for reference.

the content of the assets or services relating to the transfer, etc. of assets (where the transfer, etc. of assets is a taxable transfer, etc. of assets subject to the reduced rate, the content of the assets and a statement that it is a taxable transfer, etc. of assets subject to the reduced rate) (for a business operator to which Article 37, paragraph (1) of the Act applies, where the transfer, etc. of assets is a taxable transfer, etc. of assets (excluding one that falls under a transfer of specified low-value assets and one for which consumption tax is exempted under the provisions of Article 7, paragraph (1) of the Act, Article 8, paragraph (1) of the Act or any other Act or treaty), including the type of business listed in Article 57, paragraph (5), items (i) through (vi) of the Order);

Where all or part of the matters listed in the items of the preceding paragraph are stated or recorded in the documents prescribed in Article 4-12, paragraph (2) (Matters to Be Stated in Books, etc.) of the Order for Enforcement of the Customs Act (Cabinet Order No. 150 of 1954) or in the documents certifying that the import permission has been granted (including electronic or magnetic records relating to these documents; the same applies hereinafter in this paragraph), and a special filer (meaning a special filer prescribed in Article 71, paragraph (3) of the Order; the same applies in paragraphs (8) and (9)the following paragraph and paragraph (8)) organizes and retains those documents, notwithstanding the preceding paragraph, the recording of all or part of those matters in the books may be omitted.

The documents prescribed in the preceding paragraph are to include electronic or magnetic records in which the matters to be stated in those documents are recorded (meaning electronic or magnetic records prescribed in Article 2, item (iii) (Definitions) of the Act on Special Provisions concerning Preservation Methods for Books and Documents Related to National Tax Prepared by Means of Computers; hereinafter the same applies in this Article).

A special filer that , pursuant to the preceding paragraph, retains the electronic or magnetic records prescribed in the preceding paragraph pursuant torelating to the documents prescribed in that paragraph (6) is to retain those electronic or magnetic records by taking any of the measures listed in the items of Article 4, paragraph (1) (Retention of Electronic or Magnetic Records of Transaction Information of Electronic Transactions) of the Regulation for Enforcement of the Act on Special Provisions concerning Preservation Methods for Books and Documents Related to National Tax Prepared by Means of Computers, and in accordance with requirements equivalent to the requirements prescribed in that paragraph.

Notwithstanding paragraph (6) and the preceding paragraph, a special filer that retains the electronic or magnetic records prescribed in paragraph (7) pursuant to those provisionsthe preceding two paragraphs, a special filer that, pursuant to those provisions, retains the electronic or magnetic records relating to the documents prescribed in paragraph (6) may do so by retaining a document prepared by outputting those electronic or magnetic records (limited to one output in an orderly format and in a clear condition).

The electronic or magnetic records specified by Ministry of Finance Order prescribed in Article 71-2, paragraph (1), item (ix)(x) of the Order are the electronic or magnetic records prescribed in Article 5, paragraph (4)(1) and the electronic or magnetic records prescribed in Article 16, paragraph (4)Article 16, paragraphs (1) and (2).

With respect to matters recorded in electronic or magnetic records, among the electronic or magnetic records listed in Article 71-2, paragraph (1), items (i) through (viii)(ix) of the Order or the electronic or magnetic records prescribed in the preceding paragraph, that are retained in the form of a document prepared by outputting those electronic or magnetic records pursuant to the provisions of Article 5, paragraph (6)(5), Article 6-4, paragraph (6), Article 15-5, paragraph (2), Article 16, paragraph (6)(5), Article 19-2, paragraph (2), Article 26-7, paragraph (3) or Article 26-8, paragraph (2), or the provisions of Article 36-2, paragraph (4) (Certification, etc. of Being a Foreign Diplomatic Mission, etc.) of the Regulation for Enforcement of the Act on Special Measures Concerning Taxation (Ministry of Finance Order No. 15 of 1957), Article 59-2, paragraph (1) of the Act does not apply.

Special Provisions on the Retention Period of Documents Proving Export Transactions, etc. Concerning the National Government, Local Governments, etc.

No English for the amended wording yet.

In the application of Article 5, paragraphs (1) and (3), Article 8, paragraph (5), Article 9, paragraph (7), Article 16, paragraphs (1) through (3), Article 19, and Article 26-7, paragraphs (1) and (4) in the case where Article 76, paragraph (2) of the Order applies, the phrase "have elapsed" in Article 5, paragraph (1) is deemed to be replaced with "have elapsed (where Article 76, paragraph (2) of the Order applies, the day following the deadline for filing the return under the items of that paragraph for that taxable period (meaning the return under Article 45, paragraph (1) of the Act); the same applies in paragraph (3))", the phrase "have elapsed" in Article 8, paragraph (5) and Article 9, paragraph (7) is deemed to be replaced with "have elapsed (where Article 76, paragraph (2) of the Order applies, the day following the deadline for filing the return under the items of that paragraph for that taxable period (meaning the return under Article 45, paragraph (1) of the Act))", the phrase "have elapsed" in Article 16, paragraph (1) is deemed to be replaced with "have elapsed (where Article 76, paragraph (2) of the Order applies, the day following the deadline for filing the return under the items of that paragraph for that taxable period (meaning the return under Article 45, paragraph (1) of the Act); the same applies in the following paragraph and paragraph (3))", the phrase "have elapsed" in Article 19 is deemed to be replaced with "have elapsed (where Article 76, paragraph (2) of the Order applies, the day following the deadline for filing the return under the items of that paragraph for that taxable period (meaning the return under Article 45, paragraph (1) of the Act))", and the phrase "have elapsed" in Article 26-7, paragraph (1) is deemed to be replaced with "have elapsed (where Article 76, paragraph (2) of the Order applies, the day following the deadline for filing the return under the items of that paragraph for that taxable period (meaning the return under Article 45, paragraph (1) of the Act); the same applies in paragraph (4))".Deleted