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Japan on track for 10% Consumption Tax 2019

  • Aug 12, 2018 | Richard Asquith

Japan on track for 10% Consumption Tax 2019

Japan’s latest growth rates mean the planned rise in its Consumption Tax from 8% to 10% in October 2019 will still go ahead. The rise had previously been delayed twice because of stagnant growth. The indirect tax was originally raised from 5% to 8% in 2014 to help fund the spiralling social costs of an ageing population.

Latest growth is 1.9% for the second quarter of 2018, well ahead of its historical trend. The country narrowly missed entering into recession last year. The only major doubt on the horizon is the effect of the growing global tariff wars.


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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: richard.asquith@avalara.com. He is part of the European leadership team which won International Tax Review's 2019 Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.