Monday, August 31, 2015

Reading on Kindle Will Now Be Taxed 8% in Japan

Amazon is sending out this notice:

Hello,

Starting October 1, 2015 an 8% consumption tax will be applied to all ebooks sold to customers living in Japan. No action is required of you, but we are notifying you because you currently have one or more titles available through KDP that may be affected by this change.

One-time Adjustment for Existing KDP Titles
 Beginning October 1, list prices set for Amazon.co.jp will be tax-inclusive, meaning that the 8% consumption tax will be included in the list price you give us. For example, if you set your Amazon.co.jp list price at ¥1250, your new tax-inclusive list price would be ¥1250. Tax will be deducted from this price, and your royalties would be calculated on a resulting price of ¥1157. Keep in mind that you can change your price at any time subject to KDP’s Terms and Conditions....


Setting List Prices for Amazon.co.jp
Starting October 1, to make it easier to set customer friendly list prices without having to calculate tax, authors will set list prices for the JP marketplace that include consumption tax. To accommodate this, the KDP pricing grid will be updated to accept tax-inclusive list prices. In the pricing page, authors will also see their suggested price without tax to help them understand how royalties will be calculated. For those authors who set their JP marketplace price automatically from their US list price, we will convert the US list price to local currency and that will be the list price that includes tax.

For more information about this change, visit our Help pages.

Best regards,
The Kindle Direct Publishing Team

-RW

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