A guide on taxes deducted from your salary in Japan

  1. Income Tax
  2. Resident Tax

fukuoka city office showcase 800 Photo of Fukuoka City Hall, from Fukuoka City


I. Income Tax

This is the tax on income (salary). The tax rate changes depending on the income. The tax period is one year, from January to December.

Calculating income tax

Individuals are required to calculate their income and tax amounts for one year before filing a final tax return. However, if you are employed under a company, your company will file for tax returns on your behalf, so there is no need to file them on your own.

If you are employed full-time at a company, then they will generally calculate that sum for you. If you are juggling multiple jobs though, then you will be forced to calculate and submit tax return forms on your own. 


Resident Tax

This is the tax paid to the place of your residence from January 1. The tax amount is decided based on the income amount of the previous year. If you have just moved to Japan, you will be charged for resident tax the year after first receiving an income in Japan. The tax period is one year, from June to May of the following year.

You will receive slips which document how much you owe in residential taxes via post to your place of residence a year after you first receive an income in Japan. The sum of what you receive shall be broken up into four segments—one for each quarter of the year. They each have their own respective deadlines which you will be required to pay by. If you are not arranging payments via your employer, then you will be responsible for meeting the deadlines listed on each slip. You are free to pay for them one at a time, or in any combination, including all of them at once.

In the case of CyberConnect2, you can have the company pay the resident tax on your behalf by bringing in the aforementioned documents from the tax office. By having CyberConnect2 pay the tax on your behalf, it is deducted from your salary each month, and you do not need to worry about paying it yourself.

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