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New: practical guides to visas, work and everyday life in Japan

Life in Japan

Taxes

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Life Guide

Taxes for workers in Japan: income tax, resident tax and the year-end adjustment

Income tax is taken from every salary, and your employer settles the exact amount in the year-end adjustment. Resident tax is charged by the city where you lived on 1 January, based on the previous year's income. That is why it usually starts in June of your second year. Unpaid resident tax can affect your visa renewal.