When you start working in Japan, one thing you cannot avoid is tax.
Among tax-related topics, many people—especially foreigners—often wonder about
確定申告（かくていしんこく, Kakutei Shinkoku / tax return filing）.
- Do company employees need to file a tax return?
- Do foreigners also need to file?
If you have these questions, you’re not alone.
In this article, we explain the basics of 確定申告 (Kakutei Shinkoku) in a clear and simple way.
What is 確定申告 (Kakutei Shinkoku)?
確定申告 (Kakutei Shinkoku) is the procedure where you declare your income earned between
January 1 and December 31, calculate your income tax, and either pay the tax or receive a refund.
In principle, tax returns must be filed between February 16 and March 15 each year
(if the final day falls on a weekend, the deadline is the next weekday).
Do Company Employees Need to File a Tax Return?
In Japan, most people working as company employees do not need to file a tax return themselves.
This is because the company handles the process by:
- Deducting income tax from monthly salaries
(源泉徴収 / Gensen Chōshū, withholding tax) - Adjusting the total tax at the end of the year
(年末調整 / Nenmatsu Chōsei, year-end adjustment) - Reporting salary and tax amounts to the national and local governments
However, this applies only if you work for one company and have salary income only.
In other words, many company employees do not need to file a tax return, but there are exceptions.
Who Needs to File a Tax Return?
You may need to file 確定申告 (Kakutei Shinkoku) if any of the following apply to you.
Side Jobs or Part-Time Income
- You have income from side jobs
- You receive salaries from multiple companies
Freelancers / Self-Employed
- You work under a contract (業務委託)
- You earn freelance income
Temporary or Other Income
- You earn income from writing, lectures, etc.
- You have profits from cryptocurrency or investments (under certain conditions)
No Year-End Adjustment
- You quit your job during the year and did not start a new one
- You left Japan (some cases require filing before departure)
If you are unsure whether this applies to you, it’s best to check early.
You can consult your local tax office or municipal consultation counters.
Do Foreigners Need to File a Tax Return?
Yes—foreigners may also need to file a tax return if they earn income in Japan.
What matters is not your nationality, but
whether you earn income in Japan.
Tax laws apply regardless of visa status, including international students,
work visa holders, and permanent residents.
What Happens If You Don’t File When Required?
If you are required to file 確定申告 (Kakutei Shinkoku) but fail to do so, you may face:
- Additional tax payments
- Late payment penalties and extra taxes
- Disadvantages when renewing your visa or applying for permanent residency
Tax payment records are especially important for visa renewals and permanent residence applications.
You May Get a Tax Refund by Filing
Filing a tax return is not only about paying tax.
You may receive a refund in cases such as:
- High medical expenses
- Donations through ふるさと納税 (Furusato Nozei)
- Quitting your job during the year
Skipping filing because it seems complicated may mean losing money.
Ask for Help If You’re Unsure
If you’re unsure whether you need to file or how to do it, you can consult:
- The tax office
- Your company’s HR or accounting department
- A tax accountant
- Municipal consultation services
Many local governments now offer multilingual support for foreigners.
National Tax Agency – Individual Income Tax (English):
https://www.nta.go.jp/english/taxes/individual/index.htm
Tax filing may seem difficult, especially if Japanese is not your first language.
However, simply confirming whether you need to file can already give you peace of mind.
To live and work in Japan with confidence, it’s important to gradually understand basic rules such as taxes.
Failing to follow tax rules can ultimately put you at a disadvantage.
By Hajime Saito
X: @hajimesaitoYJC