Value Added Tax and Economy: An Evidence From Japan(2001-2015)

Abstract

The present study scrutinizes the Japanese version of value added taxation, variations in standard rate of VAT in Japan. The main purpose of the study is to examine the relationship between the VAT revenue and selected macroeconomic indicators like gross domestic product, consumption expenditure, export, import, inflation, interest rate and unemployment in Japan & also strive to upright a model that explains the importance of revenue collected through VAT system. The study intends to analyze the major factor effecting value-added tax collection in Japan.