Income Tax

Income Tax and Special Income Tax for Reconstruction (National Tax)

The tax will be imposed for your income from January 1 through December 31.

Payments:

Income Tax and Special Income Tax for Reconstruction will be deducted from your salary by your employer. Self-employed persons are responsible to pay the taxes based on your annual income declared on your Final Tax Return submitted to the tax office.

Inquiries:

Website: National Tax Agency

Individual Municipal and Prefectural Inhabitant Tax (Local Tax)

If you have lived in Saitama City on January 1 of any given year, the municipal and prefectural tax will be imposed for your income from January 1 through December 31 of the previous year. Together, the individual municipal tax and prefectural tax are also known as the “Individual Inhabitant Tax”.

If your previous year’s income only consists of your salary and your employer has filed this with Saitama City, then there is no need for you to submit a tax declaration to the municipal tax office. However, if you received income other than from your salary, or if you have had no income, you need to submit your municipal and prefectural inhabitant tax return to your municipal tax office.

Payments:

Special Collection:
Your individual inhabitant tax is deducted from your salary and your employer will pay it on behalf of you.

Normal Collection:
For persons who do not have their inhabitant tax deducted from their salary, payment can be made through tax payment notification slips. Tax payment notification slips (statement of payment) will be sent to your home every year in June. Payments are made 4 times a year and can be made at ward offices’ tax office, branch offices, administrative service windows, banks, the post office, or convenience stores. Bank transfers are also possible.

How to pay your inhabitant tax when you leave Japan?

When you leave Japan, it is necessary to settle any remaining individual inhabitant tax debts.

Once your employment is terminated, you cannot make payments for your individual inhabitant tax through Special Collection (tokubetsu choshu (特別徴収)).

If your remaining individual inhabitant tax debt is greater than your wage (plus other incentives), you may make payments by Normal Collection (futsu choshu (普通徴収)). Otherwise, payment method for individual inhabitant tax differs depending on the date of your employment termination:

Tax Representative:

A tax representative is a person who files your tax returns and administer other tax affairs on behalf of you when you leave Japan but are still subject to pay tax.

For instance, a tax representative prepares your municipal taxes in Saitama City includes residence tax, corporate tax, fixed property tax, city planning tax, light vehicle tax, tobacco tax, and business facility tax.

You can appoint a tax representative by submitting a tax representative declaration form (nozei kanri-nin shinkokusho (納税管理人申告書)) to your local tax office.

Light Motor Vehicle Tax (Municipal Tax)

Owners of light motor vehicles or motorcycles as of 1 April must pay light motor vehicle tax. You must undergo certain procedures when buying or selling your light motor vehicle or motorcycle, or changing your address. The place for undertaking the necessary procedures differs depending on the vehicle type.

Payments:

 Tax payment notification slips will be sent to your home every year in May. Payments can be made at ward offices, branch offices, administrative service windows, banks, the post office, or convenience stores. Bank transfers are also possible.

Inquiries:

 For applications and procedures when buying or selling your light motor vehicle or motorcycle, or changing of address:

Income and Tax (Tax Exemption) Certificate and Tax Payment Certificate

Saitama City will issue income and tax (tax exemption) certificates, and tax payment certificates.

 ·   Income and Tax (Tax Exemption) Certificate: signifies your total income for the year, the amount of your individual inhabitants’ tax. 
 ·   Tax Payment Certificate: verifies the amount of taxes you have paid.

You may need these certificates when changing your Status of Residence or when applying to move into public housing, for example. On those occasions, please apply through your municipal tax office, ward office, ward branch office, or administrative service window. Applying for either of these certificates will come with a fee.

In addition, if declaration of your income etc. is required when making your application, you may have to wait a few days to receive your certificate.