Business aviation operators traveling to Japan should be aware of a recently implemented Japan International Tourist Tax. The full details on what the tax is and what you need to do to comply are below:

1. What is the Japan International Tourist Tax?

The Japan International Tourist Tax went into effect on Jan. 7, 2019. The tax was levied by the Japanese National Tax Agency Ministry of Finance as part of governmental efforts to provide a permanent source of funds to expand and enhance Japan’s tourist infrastructure in order to make Japan the top tourist destination.

2. Who must pay the Tourist Tax?

A Taxable Person is considered any passenger who departs for overseas from airports in Japan by aircraft or ship.

3. Who is exempt from the tax?

For business aviation purposes the following individuals are exempt from the tax:

• Crew members
• Those leaving Japan by a special means (e.g. government aircraft)
• Those who have returned to Japan without entering another country after departure from Japan due to weather or under other unavoidable circumstances
• Transit passengers (leaving Japan within 24 hours of arrival)
• Children under the age of two
• Diplomats, consuls, and other eligible personnel stationed in Japan (for official purposes only)
• State guests and others with equivalent status
• US Armed Forces personnel and UN Armed Forces personnel (for official purposes only)

For a full list of exemptions, click here.

4. How much is the tax?

1,000 yen per departure (approximately $8.95 as of the time this article was published).

5. How is the tax collected?

Transportation companies will take payment of the tax from their customers before departure and then submit payment to their regional tax office.

Universal Aviation Japan will collect the tax on behalf of Japan National Tax Agency and bill customers for the tax along with other handling charges.

Conclusion

The new Japan International Tourist Tax went into effect Jan. 7, 2019 and requires a 1,000 yen payment per passenger who departs for overseas from airports in Japan by aircraft or ship.