Information on Amendment to the Act on Electronic Preservation System for Books and Documents Related to National Taxes in Japan



HLS GLOBAL Social Insurance and Labor

Advisory Corporation

As part of the 2021 tax reforms, the Japanese National Tax Agency has made amendments to the Act on Electronic Preservation System for Books and Documents related to National Taxes, and this will take effect on January 1st, 2022.

These drastic amendments are being made in order to improve productivity by digitization of accounting processes, promote remote work and improve bookkeeping methods through the utilization of cloud-based accounting software. Before the new regulations are enforced, and for further details, please refer to the National Tax Agency website (in Japanese only), Electronic Preservation System for Books and Documents.


Introduction to the New Japanese Invoice System Implementation & Qualified Invoice Issuers

  1. What is the new Japanese Invoice System?

Japan will implement a qualified invoice storage method (Japanese Invoice System) from October 2023. Under this new Japanese Invoice System, all qualified invoices, where tax credits for Japanese Consumption Tax (JCT) are applicable, will require proper storage as per the stipulated guidelines. Otherwise, deductions through tax credits may not be applicable, and the amount of JCT payments may increase.