Japan to withhold taxes on winnings at IRs
The government is considering the possibility that Japan could enforce a system to withhold taxes on winnings by foreigners at IRs once they launch.
Japan.- The casino industry is getting closer to the archipelago every week. That’s why Japan keeps debating the best way to do so. The latest development in the segment is that Japan may withhold taxes on winnings by foreigners at IRs.
The new system was proposed during the fiscal 2020 tax system reforms, as authorities consider measures to prevent tax evasion.
Still, the tax reform proposal for the year starting next April wouldn’t include drastic measures, since the country already raised the consumption tax from 8% to 10%.
The initiative has taken another step further as the Japan Tourism Agency announced further details on the licensing schedule.
The Agency explained it will accept proposals from local governments between January 4 and July 30, 2021. Therefore, we can expect Japan regions to pick IR consortium partners in late 2020 and early 2021.
The Agency also disclosed it has conducted consultations with interested governments. The Tokyo Metropolitan Government, prefectures of Hokkaido, Nagasaki, Osaka, and Wakayama; and the cities of Chiba, Nagoya, Osaka, and Yokohama contacted them.