Frequently Asked Questions

【Koshida Accounting Firm Column Date:

Can a non-permanent resident claim a foreign tax credit in Japan?

Yes, but it depends on your circumstances. A non-permanent resident in Japan may be able to claim a foreign tax credit if foreign-source income becomes taxable in Japan under the remittance-based taxation rules and the foreign tax has actually been paid. The calculation can be complicated because it also depends on the amount of remittances, the type of foreign-source income, and the timing of the foreign tax payment.

 

 

For more details, please refer to our blog, “Foreign Tax Credit for Non-Permanent Residents in Japan.”