[Tokyo] It has been discovered that over 100 million yen in special account fees for a public enterprise went unpaid, and the metropolitan government announced on the 26th that it will conduct an inspection to determine the cause. The metropolitan government paid approximately 136.42 million yen for the unpaid amount from fiscal years 2019 to 2022 this month, including late fees. Payments for fiscal year 2023 and beyond have been properly made.
According to the metropolitan government, while municipalities generally have no consumption tax obligations, special accounts require tax payments on sales exceeding 10 million yen. In the public housing business, sales from electricity sales within the premises generated 20 to 40 million yen annually, but consumption tax was not declared. This came to light after an inquiry in May of this year. The responsible official stated, “There was insufficient understanding of the system.”
For the 17-year period from fiscal year 2002, when the public housing business was transferred to the special account, through fiscal year 2018, the statute of limitations has expired, and currently, the exact sales amount cannot be determined, leaving those amounts unpaid.
The governor stated at a press conference on the 26th, “I recognize the significant responsibility.” There are 18 special account businesses in total, and no similar issues have been confirmed in the other businesses.
