The Japan Chain Stores Association will allow member stores to show customers not only prices excluding tax but also tax-added prices if the consumption tax is raised next April as planned, sources said.
The association previously clarified its preference to only price tags without tax included, the sources said Tuesday.
Though it still thinks price tags excluding tax are better because they make it clear to consumers how much an item costs and how much is tax, the industry group found it necessary to become flexible about the issue, the sources said.
According to the sources, food superstore chains favor price labels without tax because they want to stress the affordability of their goods. But some retailers of relatively expensive products, such as clothing, have argued that price tags that include tax can better help shoppers understand how much they are paying in total.
In view of such opinions, the association decided to allow labels showing tax-added prices as well as original retail prices for certain product groups.
However, some companies in favor of pricing simplicity may strongly demand that the association, which had urged the government to allow price labels without tax, stick to its original stance, the sources said.