Frequently Asked Questions

【Koshida Accounting Firm Column Date:

I heard about remittance taxation in Japan. What is it like?

Japan’s remittance-based taxation rules may apply to individuals who are classified as non-permanent residents for Japanese tax purposes.

In general, certain foreign-source income may become taxable in Japan when funds are remitted to Japan during the same calendar year. The calculation depends on the amount of foreign-source income and the amount remitted, so careful review is often necessary.

What Should You Be Careful About Regarding Taxation When a Non-Resident Becomes a Non-Permanent Resident in Japan?