Still getting used to the new tax

On October 1st of 2019 the consumption tax in Tokyo raised to 10%, but not on all things.  It is a bit strange because the new tax isn't across the board.  It is a headache to comprehend.

The main gist of the tax mayhem is almost everything now has a 10% sales tax.  The exception to the rule is for food and non-alcoholic beverages.  Oh, and also printed newspapers that are printed more than twice a week - because that isn't confusing in the least.

Even disregarding the newspaper factor, the taxes are not cut and dry.  The tax on food and non-alcoholic drinks is very complicated.  Dining in - whether in a restaurant, convenience store, or other food establishment - is taxed ten percent, while dining out is eight percent!  Suddenly the question "will you be dining in or is this for take out" has a whole lots of implications.

The Japan Times lists these other common questions by people trying to figure out what tax rate they will be required to pay:

• Tap water will be taxed at 10 percent, bottled water at 8 percent. The government makes a distinction between them based on purpose: Water from a tap may be used for other purposes besides drinking.
• Catering by a chef for an event is charged at 10 percent, as the government excludes “providing food and beverages which involve cooking or heating prepared food or serving them at a designated site” from the lower rate. Simply ordering food to be delivered will be subject to the 8 percent rate.
• Tax on popcorn at cinemas is 8 percent because movie-goers are taking the snack out of the concession stand into a theater, which is intended mainly for watching a movie rather than for eating or drinking.
• Eating a snack at a karaoke box will see tax applied at 10 percent, because a karaoke room is considered an eating space.

If you're confused right now, you're not alone!  I'm super confused as well, and I've been living with it for 5 months now!