Nagamine & Mishima Consulting

Accounting practice since 1989

  • English
  • 日本語 (Japanese)
  • About
    • Message from the Managing Partner
    • Leadership
    • Advantage
  • Services
    • Startup Support
    • Expansion Support
    • Crisis Support
    • Cloud Support
  • Resources
    • Seminars
    • Newsletters
    • Monthly Checklists
    • Japanese Business Guide
  • Blog
  • Clients
  • Contact

I am planning on leaving the country in the next 6-12 months. Do I have to pay national and local taxes if I leave? If I don’t, what happens?

June 4, 2012

A. Yes, you have to pay both national and local taxes when you leave. If you don’t, you will be subject to a penalty for failure to pay, as well as interest on the unpaid amount.
For national taxes, you have to file a tax return and pay tax by March 15 of the following year of your departure. If you are not in the country such that you can file your taxes on your own, it is common to have a tax attorney take care of the filings on your behalf. In this case, you should inform your local tax office before your departure from the country that this individual will be filing on your behalf. If you don’t have a tax attorney or prefer to not use one, you should finish your tax returns and payments by yourself before you leave.
For local taxes, you also should contact a tax attorney before your departure from the country. One point which you should note is that local taxation is different from national taxes in that local taxes are imposed in full on a resident who has a domicile in Japan as of January 1 for each year. Therefore, if you leave by December 31 2012, local taxes for 2013 (which is calculated based on your 2012 income) will not be imposed. If you however leave after January 1, you will owe the full amount of 2013 local taxes.
Please note the information above is provided just to give you a basic understanding,  and procedures differ greatly depending on the type and amount of income you earn in Japan, as well as certain other factors. Therefore, it may be best to consult with a tax accountant for further details.

Yes, you have to pay both national and local taxes when you leave. If you don’t, you will be subject to a penalty for failure to pay, as well as interest on the unpaid amount.

For national taxes, you have to file a tax return and pay tax by March 15 of the following year of your departure. If you are not in the country such that you can’t file your taxes on your own, it is common to have a tax attorney take care of the filings on your behalf. In this case, you should inform your local tax office before your departure. If you don’t have a tax attorney or prefer to not use one, you should finish your tax returns and payments by yourself before you leave.

For local taxes, you also should appoint a tax attorney before your departure from the country. One point which you should note is that local taxation is different from national taxes in that local taxes are imposed in full on a resident who has a domicile in Japan as of January 1 for each year. Therefore, if you leave by December 31 2012, local taxes for 2013 (which is calculated based on your 2012 income) will not be imposed. If you however leave after January 1, you will owe the full amount of 2013 local taxes.

Please note the information above is provided just to give you a basic understanding,  and procedures differ greatly depending on the type and amount of income you earn in Japan, as well as certain other factors. Therefore, it may be best to consult with a tax accountant for further details.

Blog Categories

  • Blog
  • Facts about Tax
  • Newsletter

Need support for your business in Japan?


With over 25 years experience, our team is here to help. Fill out our simple contact form and we will be in touch very shortly.

People are Talking

  • “Nagamine was instrumental in setting up our first Japanese entity in 2008, allowing us to hit the ground running when we arrived.

    Since then they have been crucial in the smooth running of our business. We use them to organize our bookkeeping, payroll and social insurance, tax reports and returns.

    Their bilingual staff are a pleasure to deal with and are always going above and beyond their usual tasks when we need extra help. We find them extremely reliable and we look forward to working with them into the future.”

    Meltwater News Japan, Meltwater group

    Meltwater News Japan