Electronic Books Preservation Act: electronic transaction data must be kept in electronic form (in force January 2024)
Source material is a Japanese government announcement (in Japanese); this page is a summary.
From January 2024 (Reiwa 6) in Japan, a business required to keep books and records for income tax or corporation tax purposes must keep electronic transaction data in its original electronic form rather than as a paper printout. This covers purchase orders, contracts, receipts, bills and similar documents exchanged as data.
Key facts
| In force | Fully compulsory from 1 January 2024 (Reiwa 6) |
|---|---|
| Responsible body | National Tax Agency of Japan (国税庁) |
| Who it applies to | Businesses required to keep books and records for income tax or corporation tax purposes |
| Data covered | Electronic transaction data such as purchase orders, contracts, invoices, receipts, quotations and bills exchanged as data (both received and sent). There is no duty to convert paper documents into data |
| Preservation requirements | Securing visibility (having a monitor, operating manuals and similar items available, plus search by date, amount and counterparty) and securing integrity (establishing and following office procedure rules that prevent improper correction or deletion) |
| Exemption from the search requirement | Businesses with sales of 50,000,000 yen or less two tax years earlier, among others, do not need to meet the search requirement if they can comply with a request to download the data |
| Deferral measure | If the competent district director of the tax office recognises a good reason (such as a shortage of staff, delays in setting up systems or a lack of funds) and the business can provide data downloads or printouts during a tax audit, it may simply preserve the data without applying in advance |
| Previous grace measure | The grace measure from the fiscal Reiwa 4 tax reform ended on 31 December 2023 |
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According to Japan's National Tax Agency (国税庁), a business that is required to keep books and records for income tax or corporation tax purposes must preserve electronic transaction data when it exchanges electronic data equivalent to purchase orders, contracts, invoices, receipts, quotations, bills and similar documents. This covers data you send as well as data you receive, and there is no duty to convert paper documents into data. From January 2024 (Reiwa 6), printing and filing on paper alone no longer meets the requirements: electronic transaction data must be kept as data and must not be deleted. The preservation requirements are securing visibility (having a monitor, printer and similar equipment available, and being able to search by date, amount and counterparty) and securing integrity (establishing and following office procedure rules that prevent improper correction or deletion).
Background — why this change
The 'grace measure' (宥恕措置) introduced in the fiscal 2022 (Reiwa 4) tax reform expired on 31 December 2023 (31 December Reiwa 5), so electronic preservation of electronic transaction data became fully compulsory from January 2024.
Summaries below are factual notes based on government announcements and primary sources — not evaluations or opinions.
Summaries reflect national-level programs. Municipal (city/ward/town) programs may differ — confirm with the official desk before applying.
FAQ
Does printing the documents and filing them on paper meet the requirements?
From January 2024 you must keep the electronic transaction data as electronic data and must not delete it. The electronic transaction data is the original, so it has to be preserved as it is; printing and filing on paper alone is not enough.
Do I have to convert documents I received on paper into data?
No. Only documents exchanged as data are covered, and there is no duty to convert paper documents into data. Data you send is covered as well as data you receive.
What if I am not ready in time?
If the competent district director of the tax office recognises a good reason (such as a shortage of staff, delays in setting up systems or a lack of funds) and you can provide data downloads or present and submit printouts during a tax audit, you may simply preserve the electronic transaction data without applying in advance.