Information about Income TaxInformation about Income Tax>No.12019 Filing of final tax returns for foreigners who receive salaries and wages from home country

No.12019 Filing of final tax returns for foreigners who receive salaries and wages from home country

I work for a U.S. corporation and I am an American resident under the U.S. law, but I will be transferred to a Japanese subsidiary from January 20 to September 20 this year. Is it necessary to pay taxes in Japan when my salaries and wages are paid from the parent company in the United States?

Even if your salaries and wages are paid from your home country, you are working in Japan and earning employment income from sources in Japan.

If your salaries and wages are paid from Japan, income tax and special income tax for reconstruction will be withheld from your salaries and wages. As they will be paid from home country, your salaries and wages will not be withheld in Japan.

In this case, you are required to submit the quasi-final tax return and make payment for the income tax calculated based on the tax rate of 20.42% on your employment income, as well as the special income tax for reconstruction before leaving Japan.