How Do You Pay Taxes for Sole Proprietors for Individual Income Tax in Japan?

【Koshida Accounting Firm Column Date:

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Hello, my name is Taisei Koshida, and I am a certified public accountant and tax accountant.


I aim to assist non-Japanese business owners who need help with reading or writing in Japanese. If you find the Japanese tax return system challenging, I can help you with your tax filings.


When you want to know how can you pay individual income tax, you must collect the information below.


1. Cash

You can pay income taxes with cash by payment slips at banks or tax offices.


2. Transfer Account(振替納税)

You can pay income taxes by transfer account, but you must submit the application of using a transfer account by the due date of tax returns only the first time. If you choose this way, the due date of tax payment is one month later than usual.


3. Electronic Payment

By using the E-Tax System, offered by The National Tax Agency, you can pay taxes.


(1) Direct Payment(ダイレクト納付)

First, you must apply to start this tool before the month you will pay taxes. Then, when filing tax returns, you choose the day of payment, and the payments are conducted.


(2) Internet Banking Payment(インターネットバンキング・モバイルバンキング)

Via ペイジー Pay-Easy, the settlement system of taxes and public utility charges, you can pay taxes without previous procedures.


4. Credit Cards

You can pay taxes by credit card, but you have to pay commissions to credit card companies. There is no need for previous procedures.


5. Smart Phone Application

Via the E-Tax System or the settlement system offering The National Tax Agency, you can pay taxes, but the amount limit is 300,000 yen.



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