Real Estate Investment and Japanese Journalization MethodsApril 24, 2022/
Corporation Tax in Japan
By incorporation of a company, you may be able to save tax of Japan
Information of Corporation Tax in Japan (Including NPO)
When you manage your company in Japan, it is better that you know information relating to corporation tax in Japan.
If you are contemplating whether you operate your business as a company or as a sole proprietor, you can look at this page.
In this page, you can know how to calculate amount of corporation tax in Japan and income tax of Japan.
“Which is better, corporation or sole proprietor from the point of view of taxation“
And you can download excel file sheet to calculate amount of corporate tax and several local tax of Japan here.
When you fill in taxable income of your company, you can know amount of tax forthwith.
Calculation of Corporate Tax of Japan
Once you have incorporated a company in Japan, you need to submit some documents to tax office. Otherwise, your company will lose chances to apply for deduction of corporation tax in Japan.
So you can look at this page “Necessary documents to submit to tax office“
By the way, when you launch your business as sole proprietor = Kojin Jigyo, you need to submit some documents to tax office.
In the case of sole proprietor, tax process is not so complicated one. So you may not need to hire a tax accountant.
In this page, you will find necessary information to submit tax filing by yourself. “Tax of Individual in Japan“
In the case you manage your company, your company needs to pay corporation tax and other several kinds of tax.
So you may hope to know how to calculate amount of corporation tax and other tax (Business tax etc.)
In that case, you can visit this page “How to calculate the amount of corporation tax in Japan“
When you (Director of your company) manage your company, you will receive salary from your company.
Otherwise, you will not be able to withdraw money from bank account of your company.
In order to include your salary into deductible expense, you need to know this information. Otherwise, your company needs to pay extra corporation tax. So you can kindly refer to this page.
“Director’s salary and Corporation tax in Japan”
When your business goes well, your company will pay salary on behalf of employees. When your company pays salary to your employee, it withholds income tax, resident tax from employee’s salary.
So you can find some information on “How to calculate employee withholding tax in Japan“
When you operate your company in Japan, Basically your company needs to join social insurance.
(Though there are a lot of companies that do not join it)
So you can look at “How to calculate amount of social insurance premium“
Your company may start exporting business. In that case your company will be able to receive refund of consumption tax.
So you can find necessary information in this page.
➡ How to receive refund of VAT of Japan ?
If you are managing NPO in Japan, your NPO may receive donation from people. In that case you may hope to know tax advantage for Donor and Donee. In that case this page may be useful for you.
➡ Donation Deduction of Japan
Other than articles mentioned above, you can find many articles (I am spending many days to write it down…..You can find it in “blog of Japan“)