Japan moves to ban untraced gold exports to curb tax evasion, Nikkei Asia reports

Japan moved today to prohibit untraced gold exports to clamp down on tax evasion, Nikkei Asia reports. The measure aims to stem schemes that exploit the country's consumption tax system by laundering gold with unclear provenance, according to Nikkei Asia. The move comes amid persistent smuggling and refund abuse that have drawn official scrutiny, Nikkei Asia writes.

Under the plan, untraceable bullion lacking proper purchase records would be barred from export, with tighter checks on dealers and shippers, according to Nikkei Asia. Japan's 10 percent consumption tax has long made gold a target for arbitrage, and tighter rules could ripple through Tokyo's bullion market and refiners. Watch for the government to publish draft rules and a timeline for enforcement, and for guidance to traders and logistics firms. [Developing. This article will be updated.]