The content in this tax guide is provided by EY.
Going to or leaving Japan
Local information | Details |
---|---|
Tax authority |
Ministry of Finance |
Website |
|
Tax year |
1 January to 31 December |
Tax return due date |
15 March |
Is joint filing possible |
No |
Are tax return extensions possible |
No |
Local information |
Tax authority |
---|---|
Details |
Ministry of Finance |
Local information |
Website |
Details | |
Local information |
Tax year |
Details |
1 January to 31 December |
Local information |
Tax return due date |
Details |
15 March |
Local information |
Is joint filing possible |
Details |
No |
Local information |
Are tax return extensions possible |
Details |
No |
2020 national income tax rates
Taxable income band ¥ | National income tax rates |
---|---|
1,950,001 to 3,300,000 |
10% |
3,300,001 to 6,950,000 |
20% |
6,950,001 to 9,000,000 |
23% |
9,000,001 to 18,000,000 |
33% |
18,000,001 to 40,000,000 |
40% |
40,000,001 + | 45% |
Taxable income band ¥ |
1,950,001 to 3,300,000 |
---|---|
National income tax rates |
10% |
Taxable income band ¥ |
3,300,001 to 6,950,000 |
National income tax rates |
20% |
Taxable income band ¥ |
6,950,001 to 9,000,000 |
National income tax rates |
23% |
Taxable income band ¥ |
9,000,001 to 18,000,000 |
National income tax rates |
33% |
Taxable income band ¥ |
18,000,001 to 40,000,000 |
National income tax rates |
40% |
Taxable income band ¥ | 40,000,001 + |
National income tax rates | 45% |
Individual income taxes consist of national income tax and local inhabitant tax.
Normally, a 20% withholding tax is levied on non-residents, with no deductions available; however, depending on the type of income, tax may be levied at progressive rates through self-assessment.
Dividends and salaries paid by Japanese companies, interest income, annuities and prizes are subject to a 20% withholding tax if paid to non-residents.
A special surtax for reconstruction assistance with respect to the Tohoku earthquake disaster is imposed from 2013 to 2037. The surtax rate of 2.1% is applied to the amount of national income tax. As a result, the effective tax rate for the highest bracket was 45.945% for 2020.
Local inhabitant tax consists of prefectural tax (a flat rate of 4% plus ¥1,500 of per capita levy) and municipal tax (a flat rate of 6% plus ¥3,500 of per capita levy). Local inhabitant tax is imposed on individuals who are registered at a municipality as of 1 January.
Expat tax guides
Read tax guides for expats provided by EY.
Additional information
How can I open an offshore bank account?
The Tax Navigator section is provided by EY in accordance with their Terms and Conditions (PDF). EY accepts no responsibility for the accuracy of this information. By using this information, you are accepting the terms under which EY is making the content available to you based on the legislation and practices of the country concerned as of 15/09/21 by EY and published in its Worldwide Personal Tax Guide, 2020-21.
Tax legislation and administrative practices may change, and this content is a summary of potential issues to consider. This content is provided for guidance purposes only; it is not meant for direct implementation of transactions or reliance upon when considering entering into transactions. It should not be used as a substitute for professional tax, legal, financial, accounting, consulting, regulatory or other professional advice and you should seek professional advice before taking any action. It is your responsibility to ensure you make all relevant disclosures to the relevant tax authorities and that you are compliant with local tax legislation. EY accepts no responsibility for any loss arising from any action taken or not taken by anyone using this material.
HSBC accepts no responsibility for the accuracy of this information.
This information does not constitute advice and no liability is accepted to recipients acting independently on its contents. The views expressed are subject to change.
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