Build Japanese Consumption Tax Return (e-Tax XML)

Skill: Convert sales/purchase ledgers into a consumption-tax return

Region: Japan (日本) Category: Tax — 消費税 (Consumption Tax) Does: Takes sales and purchase ledgers and maps them onto the Consumption Tax and Local Consumption Tax return (消費税及び地方消費税の申告) in the NTA e-Tax XML format for electronic filing. System: NTA e-Tax (国税) — consumption-tax return (e-Tax kyōtsū XML)

Japan's consumption tax has a national part and a local part reported together. Since the qualified-invoice (インボイス) system began, input-tax credit (仕入税額控除) generally requires qualified invoices from registered issuers. Returns are filed via e-Tax; corporations file within 2 months of fiscal year-end (extension possible), individuals by March 31. Line references below follow the return structure, not a verbatim schema.

When this applies

• A taxable enterprise (課税事業者) — including those registered as qualified-invoice issuers (適格請求書発行事業者) — files the consumption-tax return for its taxable period.
• Small enterprises may use the simplified system (簡易課税) or transitional measures (e.g. the 2-percent special / 2割特例) — the computation differs; confirm which regime applies.

Structure (consumption-tax return → e-Tax)

Header           taxpayer ID (法人番号/利用者識別番号), taxable period, return type
Taxable sales    taxable sales by rate: 10% (standard) and 8% (reduced, food etc.)
   national consumption tax base × 7.8% (standard) / 6.24% (reduced)
Input tax credit 仕入税額控除 — creditable purchase tax (general or 簡易課税 deemed)
Settlement (national)  output tax − input credit = national consumption tax due
Local consumption tax  = national tax × 22/78 (local portion)
Total                   national + local consumption tax payable (or refund); less interim payments

Calculation rules

• Rates: standard 10% = national 7.8% + local 2.2%; reduced 8% = national 6.24% + local 1.76%. Compute the national tax on the taxable base, then derive the local tax as national × 22/78.
• Input tax credit (general method): creditable purchase consumption tax, subject to the qualified-invoice requirement and (where taxable sales ratio < 95% or sales > ¥500m) the individual/proportional (個別/一括比例) allocation.
• Simplified (簡易課税): input credit = output tax × the deemed purchase rate (みなし仕入率) for the business category — no need to track actual purchase tax.
• Transitional 2割特例: eligible new registrants may compute tax as 20% of output tax.
• Local = national × 22/78; total = national + local; deduct interim (中間) payments already made.
• Amounts in JPY (no decimals); follow the return's rounding (truncation) rules.

Worked example (general method, outline)

Period FY2025 (corporation). Taxable sales (10%) net 100,000,000
National output tax: 100,000,000 × 7.8% = 7,800,000
Input tax credit (qualified invoices): 4,800,000
National tax due: 7,800,000 − 4,800,000 = 3,000,000
Local tax: 3,000,000 × 22/78 = 846,153 → 846,100 (rounded)
Total payable: 3,846,100 (less any interim payments)

Emitted as the e-Tax consumption-tax XML and filed via e-Tax.

Validation checklist

• Correct regime identified (general / 簡易課税 / 2割特例); current e-Tax schema used
• Taxpayer ID and taxable period correct; return type (確定/中間/修正) right
• Taxable sales split by rate (10% / 8%); national tax at 7.8% / 6.24%
• Input tax credit computed per method, honoring the qualified-invoice requirement and proportional allocation where required
• Local tax = national × 22/78; total = national + local; interim payments deducted
• JPY whole-yen with correct truncation/rounding
• Filed via e-Tax within the deadline (corporations: 2 months after FY end; individuals: Mar 31)

Last updated: 2026-05-31 — consumption-tax rules (qualified-invoice system, transitional measures) and e-Tax schemas evolve; confirm the current rates, input-credit/簡易課税 rules, transitional measures, and the e-Tax schema against current NTA (nta.go.jp) guidance before use.