When purchasing new properties, expenses such as property acquisition tax, annual asset tax, city planning tax, registration fee, maintenance fee, depreciation and loan interest, tend to exceed the rental income.
Customers are able to claim this negative revenue in tax return in order to obtain cash back from the withholding tax.
In an aging society, uprising trend of consumption tax seems unavoidable. In october 2008, the social national insurance conference suggested to hire Japan GST from 5% up to 13.5%. As income tax and resident tax may be following this uprising trend, property investments brings customer a good tax reduction merit.