The Japanese government began imposing a 3 percent consumption tax on most goods and services on April 1. However, the tax does not necessarily mean that all prices rise for travelers, as some higher taxes and surcharges have been replaced.
Shopping is less expensive, as the 3 percent tax replaces taxes of 5 to 40 percent, depending on the product. And foreign travelers are exempt from the consumption tax at authorized stores, including most major department stores, if a total purchase is more than 10,000 yen (about $72 at 139 yen to the dollar) and the goods will be taken out of Japan.Meals costing less than 2,500 yen (about $18) are now taxed at 3 percent; there was no tax previously. But more expensive meals, which had been taxed at 10 percent, will cost less. Meals costing 2,500 to 5,000 yen are now taxed at 3 percent, and those more than 5,000 yen are now taxed at 6 percent (the 3 percent tax plus a 3 percent local tax).
The 3 percent tax on domestic air fares replaces a 10 percent tax, so prices drop. For example, a Tokyo to Osaka flight is now 14,600 yen instead of 15,600 yen.
Previously untaxed, sightseeing tours now have a 3 percent tax.
The cost of accommodations that execeeding 10,000 yen (about $72) a night will go down. The tax on such rooms is now 6 percent instead of 10 percent. Hotel rooms costing less than 10,000 yen a night were previously untaxed; now a tax of 3 percent is being imposed.