Electronic Bookkeeping Law and Payment Data Management Guide

Electronic Bookkeeping Law and Payments

Japan's Electronic Bookkeeping Preservation Act fully mandated electronic storage of electronic transaction data from January 2024. For payment and EC businesses, the scope includes: credit card statements received electronically, invoices/receipts via email, EDI transaction data, and cloud payment platform records. Requirements: (1) authenticity (tamper prevention) and (2) searchability (by date, amount, counterparty).

Payment Data Storage Requirements

Three compliant storage methods: (1) Qualified timestamps on transaction data. (2) System-based correction/deletion logging — the system records all modifications. (3) Internal process regulations — establish rules preventing unauthorized changes. For businesses using a PSP, method 2 is most efficient — if the PSP dashboard maintains transaction history with modification logs, individual timestamps aren't needed.

Invoice System Integration

Japan's Qualified Invoice System and the electronic bookkeeping law are closely connected. Invoices exchanged electronically must be stored per electronic bookkeeping requirements. Key practices: (1) download PSP settlement statements in CSV/PDF with searchable storage, (2) verify and manage supplier invoice registration numbers (T+13 digits), (3) maintain documentation meeting input tax credit requirements. BPSP transactions are equally subject to these requirements.

Implementation Checklist

Five items when deploying payment systems: (1) Auto-storage — can the dashboard search by date, amount, counterparty? (2) Export — CSV/PDF download supported? (3) Audit trail — refund/cancellation history fully recorded? (4) Retention period — meets statutory 7 years (10 years with carried-forward losses)? (5) Access control — proper permission management? JPCC's platform meets all five requirements.

FAQ (4 Questions)