Regimes: 4
非永住者
OpenFor people relocating
Foreign income taxed only to the extent paid in or remitted to Japan
Details
- Who
- Residents without Japanese nationality who had a domicile or residence in Japan for 5 years or less in total within the past 10 years.
- How it works
- Taxed on Japan-source income and on foreign-source income only to the extent paid in or remitted to Japan; ordinary rates. Status lasts until total residence exceeds 5 years within 10 years.
- Duration
- Until your total time living in Japan in the past 10 years exceeds 5 years
- How to opt in
- Applies automatically by law to foreign residents; the status is stated in the annual return.
- Limits and risks
- Japanese income and remittances to Japan are taxed at ordinary rates; inhabitant tax and social insurance apply as usual; keep records of transfers.
- Legal basis
- 所得税法 第2条第1項第4号, 第7条第1項第2号; 国税庁 タックスアンサー No.2010
- Checked
- 4 November 2026
青色申告特別控除
OpenFor the self-employed
Deduction of ¥650,000 (double-entry + e-Tax or e-books), ¥550,000 or ¥100,000 from income
Details
- Who
- Individuals with business or real-estate income approved to file a blue return.
- How it works
- Special deduction from income: ¥550,000 (¥650,000 with e-filing or electronic books) with double-entry bookkeeping; ¥100,000 with simplified books. Ordinary PIT rates (5–45% + 2.1%) plus 10% inhabitant tax.
- How to opt in
- File the '青色申告承認申請書' with the tax office by 15 March of the first year you want it; if the business starts on or after 16 January, within 2 months of starting.
- Limits and risks
- Only for business, real-estate and forestry income; books must be kept (7 years) and the return with balance sheet and P&L filed by 15 March; inhabitant tax and social insurance are otherwise unaffected.
- Legal basis
- 租税特別措置法 第25条の2; 国税庁 タックスアンサー No.2072, No.2070
- Checked
- 4 November 2026
NISA（少額投資非課税制度）
OpenFor investors
Tax-free dividends and gains in the account: up to ¥3.6 million a year, ¥18 million in total
Details
- Who
- Japanese residents aged 18 or over (as of 1 January) holding a NISA account; from January 2027 also minors aged 0–17, tsumitate part only.
- How it works
- Dividends and gains in the account are tax-exempt indefinitely: annual limit ¥3.6m (¥1.2m tsumitate, ¥2.4m growth), lifetime limit ¥18m (¥12m growth).
- How to opt in
- Open one NISA account at a bank or securities firm in Japan; you can switch institution once a year.
- Limits and risks
- The relief is Japanese only: after you move, your new state of residence may tax the account's income. For minors (0–17) the limits are ¥600,000 a year and ¥6 million in total; money can be withdrawn only from age 12 — by the parent, with the child's written consent and for the child's needs.
- Legal basis
- 租税特別措置法 第9条の8, 第37条の14; 金融庁 NISA特設ウェブサイト
- Checked
- 4 November 2026
個人型確定拠出年金（iDeCo）
OpenFor investors
Contributions up to ¥75,000 (self-employed) or ¥62,000 (employees) a month fully deductible
Details
- Who
- Members of Japan's National Pension (self-employed, employees, dependent spouses) contributing to an individual iDeCo pension plan; from December 2026 up to age 70.
- How it works
- All contributions are fully deductible from income (小規模企業共済等掛金控除). From December 2026 the monthly cap is ¥75,000 for the self-employed (together with the National Pension Fund) and ¥62,000 for employees (together with company pensions).
- How to opt in
- Join through a bank or securities firm offering iDeCo; claim the deduction at the employer's year-end adjustment or in the tax return with the contribution certificate.
- Limits and risks
- Savings are locked until retirement age; payouts are taxed as retirement or pension income.
- Legal basis
- 所得税法 第75条; 国税庁 タックスアンサー No.1135; 厚生労働省「令和8年12月から iDeCoがパワーアップします」
- Checked
- 4 November 2026
DoubleTaxation