お問い合わせTaxes
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YouTube 法務省チャンネル（Taxes）
INDEX
1. Non-Japanese citizens and tax
Non-Japanese citizens under the following conditions must pay tax in Japan:
• Persons who earn income in Japan;
→ As a rule, individual income tax is imposed on income.
• Persons who have a registered address in Japan as of January 1.
→ Individual Inhabitant Taxes are also imposed. (The amount of the tax varies in accordance with your income in the prior year.)
• Persons who earn income in Japan;
→ As a rule, individual income tax is imposed on income.
• Persons who have a registered address in Japan as of January 1.
→ Individual Inhabitant Taxes are also imposed. (The amount of the tax varies in accordance with your income in the prior year.)
2. Individual Income Tax
Individual Income Tax is a tax imposed on personal income earned in a year starting from January 1 through December 31. The tax is calculated as follows:
i. Gross income − Expenses, etc. = Net income (A)
ii. Net income (A) − Deductions (see 1-3) = Taxable income (B)
iii. Taxable income (B) × tax rat
The tax rate gradually rises along with the increase taxable income (B).
◆Taxpayer and scope of personal taxable income
The scope of individual income tax varies according to the following types of residence:
(1) Residents
Persons who have a registered address (“domicile”) in Japan, or who have had a residence for over a year until the present (except (2) Non-Permanent Residents) are termed Residents.
→ All worldwide income of Residents that is earned inside and outside of Japan is subject to income tax.
(2) Non-Permanent Residents
Within the term “Residents” as defined in (1) above, those who do not have Japanese nationality and for whom the time they have had a domicile or residence in Japan within the period of past 10 years is five years or less in total are termed Non-Permanent Residents.
→ ① Their income other than earned outside Japan, and ② their income earned outside Japan as long as it is paid within Japan or is remitted to Japan is subject to income tax.
(3) Non-Residents
Persons who are not qualified as Residents are termed Non-Residents.
→ Only their income earned within Japan, such as salary, wages, other payments given for your work, etc. is subject to income tax.
◆Filing a tax return and payment
Income tax is self-assessed, with the annual income and the tax to be imposed on it calculated. Taxpayers submit a tax return to the tax office to determine the tax obligation while adjusting the withheld amount (see 1-4) within the due date. This procedure is called filing a tax return.
(1) Persons who need to file a tax return
The majority of persons who receive salaries and wages do not need to file a tax return, since their tax obligations are determined by their income tax being withheld (see 1-4) and later adjusted in the final salary paid to them in a calendar year (see 1-4).
However, in principle, persons to whom any of the following apply must file a tax return:
• Persons who have one employer and their total amount of their income other than salary income and severance allowance exceeds 200,000 yen;
• Persons who have more than one employer and the total amount of salary income which has not been adjusted in their year’s final salary and income other than salaries and severance allowance exceeds 200,000 yen; or
• Persons who have income from business or stock trading and are required to pay income tax according to the calculation.
If there is any tax to pay, taxpayers have to pay such amount in full by the due date. (The tax office will not send any notifications regarding this.)
The following methods can be used to pay tax:
i. Automatic account transfer from your domestic bank account
ii. Online payment via Direct Payment (automatic account transfer by e-Tax) or Internet banking
iii. Online payment with your credit card; or
iv. Over-the-counter payment with a tax payment slip (service window at banks, post offices, convenience stores or tax offices)
(2) Persons who are eligible for a tax refund by filing a tax return
• If it is found out that you are eligible for a deduction (see 1-3) from your withheld tax (see 1-4), you can receive a refund of the tax you have overpaid by filing a tax return. The refund will be remitted to your account at a post office or a bank.
• If you have not overpaid income tax due to withheld tax or the like, you cannot receive a tax refund.
(3) When to file a tax return and pay tax
Income tax consultation and payments for every tax year must be done between February 16 and March 15 of the following year.
* Tax office do not accept, as a general rule, consultations or the submission of tax return on days they are closed (weekends, national holidays, etc.).
*The due date for income tax payment is March 15. * If this due date (March 15) falls on weekends or national holidays, it will be extended to the following business day.
(4) When you leave Japan
• If you leave Japan and unregister your Japanese address, your income tax must be adjusted in your year’s final salary while you are in Japan.
• If you need to file a tax return due to one of cases in (1) applying to you, you have to do so and pay any tax you owe before you leave Japan.
• If you carry out any procedures relating to tax payment after you leave Japan, you have to appoint a tax agent who resides in Japan and send a “Declaration Naming a Person to Administer the Taxpayer’s Tax Affairs for Income Tax and Consumption Tax” to the tax office with jurisdiction. The agent will take care of the procedures after you leave Japan.
◆Major tax deductions
Taking each individual’s circumstances into consideration, a certain amount of deductions is applicable on your income tax calculation (see the formula in 1 above) if you fulfill the following:
In case of a Non-Resident (see 1-1 (3)), only limited types of deductions are applicable.
(1) If you give economic support to your family;
• In the case where you financially support a family member, and the total income of such dependent is 480,000 yen or less (380,000 yen or less in or before 2019), you can receive a certain amount of income deduction on your income tax calculation.
• If your dependent family member is Non-Resident (see 1-1(3)), you need to attach the following documents to a tax return form or show them when you submit your tax return form at a tax office:
1. Family registration (a copy of your family’s koseki); and
2. Remittance slips or other documents to certify that you support your non-resident family member.
• After 2023, in the case where the age of your dependent family member is from 30 to 69 and do not fall under any of the mentioned below, he/she shall not be eligible for receiving income deduction:
i. The dependent family member no longer lives in Japan due to overseas education;
ii. The dependent family member is the disabled; and
iii. Within the fiscal year, you pay 380,000 yen or more as cost of living or education fees for the dependent family member.
(2) If you are married;
• If you are married and satisfy certain requirements, a certain amount of deduction is applicable to your income.
• If your spouse is Non-Resident (See 1-1(3),) you have to attach the following documents to a tax return form or show them when you submit the tax return form at a tax office:
1. A marriage certificate (a copy of family registration, etc.); and
2. Remittance slips or other documents to certify that you support your non-resident spouse.
(3) If you pay social insurance;
If you pay social insurance (Health insurance, National Pension, Employee’s pension insurance, etc.) for yourself, your spouse and other family members who depend on you for their livelihood, you can receive an income deduction depending on the amount of the insurance premiums.
(4) If you pay life insurance premiums; or
If you pay a certain amount of life insurance premiums, long term medical care insurance premiums and/or pension insurance premiums, you can receive a certain amount of income deduction.
(5) If you have spent a significant amount of medical expenses;
If the total amount of medical expenses spent by a taxpayer, his/her spouse and/or other family members who depend on such taxpayer for their livelihood exceeds a certain amount, you can receive an income deduction depending on the amount of the medical expenses.
◆Withholding and year-end adjustment
• Persons who receive salaries and wages pay income tax in the withholding tax system. When their salaries or wages are paid, income tax is subtracted (withheld) from them by their employer.
• Tax is adjusted in the final salary or wage in a calendar year (year-end adjustment).
• A withholding record with the annual gross salary printed on it is issued by an employer and provided to the salary receiver.
◆Special cases by Income Tax Convention
If your country and Japan have concluded an income tax convention, your income tax may be relieved by fulfilling certain requirements.
i. Gross income − Expenses, etc. = Net income (A)
ii. Net income (A) − Deductions (see 1-3) = Taxable income (B)
iii. Taxable income (B) × tax rat
The tax rate gradually rises along with the increase taxable income (B).
◆Taxpayer and scope of personal taxable income
The scope of individual income tax varies according to the following types of residence:
(1) Residents
Persons who have a registered address (“domicile”) in Japan, or who have had a residence for over a year until the present (except (2) Non-Permanent Residents) are termed Residents.
→ All worldwide income of Residents that is earned inside and outside of Japan is subject to income tax.
(2) Non-Permanent Residents
Within the term “Residents” as defined in (1) above, those who do not have Japanese nationality and for whom the time they have had a domicile or residence in Japan within the period of past 10 years is five years or less in total are termed Non-Permanent Residents.
→ ① Their income other than earned outside Japan, and ② their income earned outside Japan as long as it is paid within Japan or is remitted to Japan is subject to income tax.
(3) Non-Residents
Persons who are not qualified as Residents are termed Non-Residents.
→ Only their income earned within Japan, such as salary, wages, other payments given for your work, etc. is subject to income tax.
◆Filing a tax return and payment
Income tax is self-assessed, with the annual income and the tax to be imposed on it calculated. Taxpayers submit a tax return to the tax office to determine the tax obligation while adjusting the withheld amount (see 1-4) within the due date. This procedure is called filing a tax return.
(1) Persons who need to file a tax return
The majority of persons who receive salaries and wages do not need to file a tax return, since their tax obligations are determined by their income tax being withheld (see 1-4) and later adjusted in the final salary paid to them in a calendar year (see 1-4).
However, in principle, persons to whom any of the following apply must file a tax return:
• Persons who have one employer and their total amount of their income other than salary income and severance allowance exceeds 200,000 yen;
• Persons who have more than one employer and the total amount of salary income which has not been adjusted in their year’s final salary and income other than salaries and severance allowance exceeds 200,000 yen; or
• Persons who have income from business or stock trading and are required to pay income tax according to the calculation.
If there is any tax to pay, taxpayers have to pay such amount in full by the due date. (The tax office will not send any notifications regarding this.)
The following methods can be used to pay tax:
i. Automatic account transfer from your domestic bank account
ii. Online payment via Direct Payment (automatic account transfer by e-Tax) or Internet banking
iii. Online payment with your credit card; or
iv. Over-the-counter payment with a tax payment slip (service window at banks, post offices, convenience stores or tax offices)
(2) Persons who are eligible for a tax refund by filing a tax return
• If it is found out that you are eligible for a deduction (see 1-3) from your withheld tax (see 1-4), you can receive a refund of the tax you have overpaid by filing a tax return. The refund will be remitted to your account at a post office or a bank.
• If you have not overpaid income tax due to withheld tax or the like, you cannot receive a tax refund.
(3) When to file a tax return and pay tax
Income tax consultation and payments for every tax year must be done between February 16 and March 15 of the following year.
* Tax office do not accept, as a general rule, consultations or the submission of tax return on days they are closed (weekends, national holidays, etc.).
*The due date for income tax payment is March 15. * If this due date (March 15) falls on weekends or national holidays, it will be extended to the following business day.
(4) When you leave Japan
• If you leave Japan and unregister your Japanese address, your income tax must be adjusted in your year’s final salary while you are in Japan.
• If you need to file a tax return due to one of cases in (1) applying to you, you have to do so and pay any tax you owe before you leave Japan.
• If you carry out any procedures relating to tax payment after you leave Japan, you have to appoint a tax agent who resides in Japan and send a “Declaration Naming a Person to Administer the Taxpayer’s Tax Affairs for Income Tax and Consumption Tax” to the tax office with jurisdiction. The agent will take care of the procedures after you leave Japan.
◆Major tax deductions
Taking each individual’s circumstances into consideration, a certain amount of deductions is applicable on your income tax calculation (see the formula in 1 above) if you fulfill the following:
In case of a Non-Resident (see 1-1 (3)), only limited types of deductions are applicable.
(1) If you give economic support to your family;
• In the case where you financially support a family member, and the total income of such dependent is 480,000 yen or less (380,000 yen or less in or before 2019), you can receive a certain amount of income deduction on your income tax calculation.
• If your dependent family member is Non-Resident (see 1-1(3)), you need to attach the following documents to a tax return form or show them when you submit your tax return form at a tax office:
1. Family registration (a copy of your family’s koseki); and
2. Remittance slips or other documents to certify that you support your non-resident family member.
• After 2023, in the case where the age of your dependent family member is from 30 to 69 and do not fall under any of the mentioned below, he/she shall not be eligible for receiving income deduction:
i. The dependent family member no longer lives in Japan due to overseas education;
ii. The dependent family member is the disabled; and
iii. Within the fiscal year, you pay 380,000 yen or more as cost of living or education fees for the dependent family member.
(2) If you are married;
• If you are married and satisfy certain requirements, a certain amount of deduction is applicable to your income.
• If your spouse is Non-Resident (See 1-1(3),) you have to attach the following documents to a tax return form or show them when you submit the tax return form at a tax office:
1. A marriage certificate (a copy of family registration, etc.); and
2. Remittance slips or other documents to certify that you support your non-resident spouse.
(3) If you pay social insurance;
If you pay social insurance (Health insurance, National Pension, Employee’s pension insurance, etc.) for yourself, your spouse and other family members who depend on you for their livelihood, you can receive an income deduction depending on the amount of the insurance premiums.
(4) If you pay life insurance premiums; or
If you pay a certain amount of life insurance premiums, long term medical care insurance premiums and/or pension insurance premiums, you can receive a certain amount of income deduction.
(5) If you have spent a significant amount of medical expenses;
If the total amount of medical expenses spent by a taxpayer, his/her spouse and/or other family members who depend on such taxpayer for their livelihood exceeds a certain amount, you can receive an income deduction depending on the amount of the medical expenses.
◆Withholding and year-end adjustment
• Persons who receive salaries and wages pay income tax in the withholding tax system. When their salaries or wages are paid, income tax is subtracted (withheld) from them by their employer.
• Tax is adjusted in the final salary or wage in a calendar year (year-end adjustment).
• A withholding record with the annual gross salary printed on it is issued by an employer and provided to the salary receiver.
◆Special cases by Income Tax Convention
If your country and Japan have concluded an income tax convention, your income tax may be relieved by fulfilling certain requirements.
3.Individual Inhabitant Taxes
◆Definition of Individual Inhabitant Taxes
This is a tax you are obliged to pay to the prefectural and municipal offices with jurisdiction over your address as of January 1.
• Individual Inhabitant Taxes consist of an income-graded component which is assessed on your income for the preceding year and a flat-rate component whose amount is regardless of your amount of income.
• The Individual Inhabitant Taxes to be paid to your prefecture will be paid to your municipal government together with the one for your municipality.
◆How to pay the Individual Inhabitant Taxes
・There are two ways of paying:
i. Special collection: The company that employs you withholds your Individual Inhabitant Taxes from your salary and pays it to your municipal government. As a rule, employees themselves do not need to pay the taxes to the municipal office.
ii. Ordinary collection: When you receive a written tax demand from your local government, go to the government office yourself with the demand you have received and the amount of taxes indicated on it.(*)
* You may pay your tax at the post office or a convenience store. See the instructions indicated on the letter from your local government.
◆Miscellaneous
• Please note the following regarding Individual Inhabitant Taxes:
i. The taxes must be paid to the municipality where you have had your registered address on January 1. Even if you leave Japan on January 2 or after, you still have an obligation to pay the tax.
ii. When those who pay the taxes by special collection (see 2-2 i) terminate their employment, the outstanding tax balance must be paid by ordinary collection (see 2-2 ii).
However, there is another way to pay them to your municipality, namely, requesting that the company that employed you withhold the taxes from any salary or severance allowance that would be paid to you.
iii. If you cannot pay your Individual Inhabitant Taxes before you leave Japan, you must appoint a tax agent who resides in Japan and will pay the tax for you, and notify the municipal office of such person.
This is a tax you are obliged to pay to the prefectural and municipal offices with jurisdiction over your address as of January 1.
• Individual Inhabitant Taxes consist of an income-graded component which is assessed on your income for the preceding year and a flat-rate component whose amount is regardless of your amount of income.
• The Individual Inhabitant Taxes to be paid to your prefecture will be paid to your municipal government together with the one for your municipality.
◆How to pay the Individual Inhabitant Taxes
・There are two ways of paying:
i. Special collection: The company that employs you withholds your Individual Inhabitant Taxes from your salary and pays it to your municipal government. As a rule, employees themselves do not need to pay the taxes to the municipal office.
ii. Ordinary collection: When you receive a written tax demand from your local government, go to the government office yourself with the demand you have received and the amount of taxes indicated on it.(*)
* You may pay your tax at the post office or a convenience store. See the instructions indicated on the letter from your local government.
◆Miscellaneous
• Please note the following regarding Individual Inhabitant Taxes:
i. The taxes must be paid to the municipality where you have had your registered address on January 1. Even if you leave Japan on January 2 or after, you still have an obligation to pay the tax.
ii. When those who pay the taxes by special collection (see 2-2 i) terminate their employment, the outstanding tax balance must be paid by ordinary collection (see 2-2 ii).
However, there is another way to pay them to your municipality, namely, requesting that the company that employed you withhold the taxes from any salary or severance allowance that would be paid to you.
iii. If you cannot pay your Individual Inhabitant Taxes before you leave Japan, you must appoint a tax agent who resides in Japan and will pay the tax for you, and notify the municipal office of such person.
