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Kutchan Bed Tax

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The calculation method and report format have been discussed with Kutchan Town, and it is believed they will accept this approach.
Please verify with your tax accountant that the reported values meet your tax reporting and payment obligations.

RoomBoss supports Kutchan Town Bed Tax calculation through Product Setup → Price Component Profiles.

A Kutchan Tax Report is also available and provides data required for monthly tax filing for product mapped to the Kutchan Tax Component Profile.


How Kutchan Accommodation Tax is calculated​

The applicable accommodation tax rate is determined by the booking's check-out date:

  • 2% for bookings checking out before April 2026
  • 3% for bookings checking out from April 2026 onwards

RoomBoss calculates Kutchan Bed Tax from tax-inclusive booking values. This approach is used because OTAs and external systems provide tax-inclusive pricing, and RoomBoss standardises all pricing as inclusive of tax.

The calculation is performed in the following order:

  1. Remove any non-taxable components configured in the Price Component Profile.
  2. Derive the taxable accommodation amount
  3. Apply the 10% consumption tax
  4. Apply the utchan Bed Tax

Rounding Rules​

Kutchan accommodation tax is calculated using the taxable accommodation amount, which is rounded down to the nearest ¥100 before the accommodation tax is calculated.

Because of this rounding method, small differences (typically ±1–2 yen) may occur in the calculated consumption tax.

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Some booking values might not have an exact tax value since the Kutchan taxable amount is rounded down to the nearest 100 yen.


Important Notes​

  • Tax is calculated using the total booking amount, not individual nightly rates.
  • The calculation is based on the booking's check-out date, not the booking creation date.
  • For agent bookings, tax is calculated using either the Net/Sell or Gross amount, depending on your Price Component Profile settings.
  • Bookings with a Gross or Sell/Net amount of zero are not included in the report.
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  • Kutchan Town has previously confirmed that:
    • Calculation based on total booking value is acceptable
    • Reporting based on check-out month is acceptable

What Is Excluded​

The following bookings are not included:

  • Bookings with zero Gross or Sell/Net amount of zero.
  • Bookings that are not allocated to a room
  • Values configured as non-bed-taxable exclusions, such as:
    • Breakfast
    • Onsen tax
    • Service charges
    • Other excluded components defined in the profile


Kutchan Tax Report​

This report is used to prepare monthly Kutchan accommodation tax filings and to reconcile accommodation tax collected from bookings.

The report includes accommodation bookings that use a Kutchan Accommodation Tax profile, are allocated to a room, and have a booking amounts greater than zero.

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  • The report is calculated based on the booking check-out date.
  • The full booking amount is used (it is not split or prorated per night).