The Tokyo branch of American tech giant Apple has been fined an additional $105 million ( Yên14 billion) in taxes for bulk sales of tax-free iPhone smartphones.
The Tokyo branch of American tech giant Apple has been fined an additional $105 million (14 billion yen) in taxes for the duty-free bulk sale of iPhone smartphones and other Apple devices to foreign visitors, Kyodo said. News reported.
Citing a source close to the matter Kyodo News reported that the Tokyo Regional Taxation Bureau found Apple Japan’s approximately $1,04,16,84,000 (140 billion yen) tax-free sales in the two years to September 2021 were made through fraudulent tax-free purchases for resale for commercial purposes. commercial.
The tax office, which began investigating last year, has detected many unusual transactions, including a tourist buying hundreds of devices at a store. Apple StoreJapanese news agency reported.
An additional tax of $105 million (14 billion yen) applies to unreported sales, arguably the highest additional consumption tax charged for duty-free sales, according to the report.
Only foreign visitors who purchase souvenirs or everyday items within six months of arriving in Japan to bring abroad can shop duty-free. As reported by Kyodo News, these products are subject to tax if they are purchased for resale. However, stores need to assess the nature of the purchase.
Some goods like iPhones are said to be cheaper in Japan than in other countries. The tax department suspects that sellers want to take advantage of Japan’s tax-free system by inviting tourists to Japan to buy products and then sell them abroad for profit, according to the report.
In June, the Tax Department released administrative guidance for department stores to require products to be sold properly after cases of bulk purchases of cosmetics and other products at department stores. goods for resale came to light.
The cases include a group of seven Chinese nationals, Who used tourist and other visas to visit Japan in 2020, and the Osaka Regional Taxation Bureau charged them around $56,58,162 (760 million yen) when they bought 573,26,115 worth of branded goods. USD (7.7 billion yen), Kyodo News reported. It was discovered that the products, including watches and bags, had been purchased for resale.
