Japan Tax Calculators

Property Tax Calculators

Consumption Tax Rebate Calculator (for Japanese property owners)

This will help you understand whether it is beneficial for you to to apply and lodge consumption tax returns.  Interesting note is that a lot of foreigner owners miss out on claiming this rebate because they feel it’s complicated. We can do this for you easily.

Individual vs Corporate tax Calculator (for Japanese property owners)

This calculator will help you assess the income tax payable on your property and help you decide whether it should be classified under your personal name or a company.  You can easily see which is the most effective tax rate.

Historical Tax and Depreciation Calculator (for Japanese property owners)

This calculator will help you estimate your Japan tax liability for properties in Japan depending on the composition of the building, when it was built and whether you own this property individually or via an offshore company.

Income Tax Calculator

Income Tax Calculator (for individuals)

This is another Japan Tax calculator that will help you understand how much Japanese National Income tax (shotokuzei 所得税) , Local tax (Also known as residents tax – juminzei 住民税), social health insurance and pension contributions you will have to pay depending on your annual salary.

How is tax calculated in Japan?
The tax rate is a progressive tax system and determined based on the taxable income. Like in other countries, taxable income is the total earnings minus a basic exemptions, exemptions for dependents and various types of deductions, such as deductions for insurance premiums, medical expenses. In the Japan the big difference is a so-called residents tax that is payable dependant on where you live.

How much is the tax in Japan?
The current income tax rates for Japan are dependant on multiple variables including your salary, benefits and length of stay in the country. The easiest way to assess each individual is to use our japan tax calculator

For tax purposes, people living in Japan are classified into three categories. This categorization is not related to visa types:

Non-Resident
A person who has lived in Japan for less than one year and does not have his primary base of living in Japan. Non-residents pay taxes only on income from sources in Japan, but not on income from abroad.
Non-Permanent Resident
A person who has lived in Japan for less than five years, but has no intention of living in Japan permanently. Non-permanent residents pay taxes on all income except on income from abroad that does not get sent to Japan.
Permanent Resident
A person who has lived in Japan for at least five years or has the intention of staying in Japan permanently. Permanent residents pay taxes on all income from Japan and abroad.

How to pay taxes?

Income tax in Japan is based on a self-assessment system (a person determines the tax amount himself or herself by filing a tax return) in combination with a withholding tax system (taxes are subtracted from salaries and wages and submitted by the employer).

Thanks to the withholding tax system, most employees in Japan do not need to file a tax return. In fact, employees only need to file a tax return if at least one of the following conditions is true:

if they leave Japan before the end of the tax year
if their employer does not withhold taxes (e.g. employer outside Japan)
if they have more than one employer
if their annual income is more than 20,000,000 yen
if they have side income of more than 200,000 yen

Employees, who do not need to file a tax return, will have their income taxes withheld from their salaries by their employer, and an eventual adjustment is made with the year’s final salary. People, who are required to file a tax return, such as self-employed persons, must do so at the local tax office (zeimusho).

When to pay taxes?

If not withheld by the employer, national income taxes are due in full by March 15 of the following year (mid April if you pay by automatic bank transfer), with two prepayments paid in July and November of the running tax year. Prepayments are calculated based on the previous year’s income, i.e. you do not pay them during your first year in Japan..

If prefectural and municipal income taxes are not withheld by the employer, they are to be paid in quarterly installments during the following year.