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Japan to tax e-content sales by foreign firms

TOKYO -- Japan will start collecting taxes on sales of electronic books, music and other online content downloaded from abroad as early as fiscal 2015.

     Currently, no sales tax is levied on sales of e-books and apps through an overseas server of or other distributors, putting domestic firms at a disadvantage. Japan taxes purchases of physical products from abroad when shipments are cleared by customs. But no duty collection system exists for online e-content purchases.

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