JAPAN TAX BULLETIN
Tax Reform Regarding the Reduction of the Consumption Tax Rate on Food and Beverages
On September 15, 2026, a proposed revision to the consumption tax system was announced in response to recent rapid inflation. The core of this proposal is a temporary reduction of the consumption tax rate on food and beverages to 1% (combined national and local taxes) for a two-year period from April 1, 2027, to March 31, 2029. Additionally, various related special provisions will be established. This document outlines these proposed revisions.
