This came up a while back and no one seemed to be able to say what tax is paid on inventory. The best we could work out was you need a warehouse and warehouses

This came up a while back and no one seemed to be able to say what tax is paid on inventory. The best we could work out was you need a warehouse and warehouses are taxed as they are real estate. JIT is about freeing up capital (which in the 80s when JIT came in was expensive). It also reduces waste a lot.