Moneycontrol
HomeNewsWorldApple Japan hit with $98 million in back taxes
Trending Topics

Apple Japan hit with $98 million in back taxes

According to the newspaper, bulk purchases of iPhones by foreign shoppers were discovered at some Apple stores with at least one transaction involving an individual buying hundreds of handsets at once and the store missed taxing at least one possible reseller.

December 27, 2022 / 06:22 IST
Story continues below Advertisement
(Representative Image)

Apple Inc's Japan unit is being charged 13 billion yen ($97.82 million) in additional taxes by Tokyo for bulk sales of iPhoneS and other Apple devices to foreign tourists that were incorrectly exempted from the consumption tax, Nikkei reported on Monday citing sources.

According to the newspaper, bulk purchases of iPhones by foreign shoppers were discovered at some Apple stores with at least one transaction involving an individual buying hundreds of handsets at once and the store missed taxing at least one possible reseller.

Story continues below Advertisement

Japan allows tourists staying less than six months to buy items without paying the 10% consumption tax, but the exemption does not apply to purchases for the purpose of resale.

Apple Japan is believed to have filed an amended tax return according to Nikkei. The company did not respond to a Reuters' request for comment on the report.