This article was written by the NIPPON VISA & LIFE editorial team based on information from public organizations such as the national government and local governments. Rules and fees may differ depending on the city, ward, town or village where you live.
Resident tax in Japan is a tax you pay to the city, ward, town or village where you have your address on January 1. The amount is decided by your income from the previous year (salary and other income from January to December). As a rule, people who work for a company have it deducted from their salary, and everyone else pays it themselves with the payment slips (paper forms for paying tax) sent by the city, ward, town or village.
For an overview of all the procedures you do at the city office soon after arriving in Japan, see Procedures at the City Office After You Arrive in Japan: The Basics of the Moving-in Notification, My Number, National Health Insurance, National Pension and Resident Tax.
The Short Answer: Resident Tax Basics
- You pay resident tax to the city, ward, town or village where you have (or had) your address on January 1 of that year. The same applies to foreign residents.
- The amount is decided by your income from January 1 to December 31 of the previous year.
- If you work for a company, the company deducts it from your salary and pays it for you (special collection (tokubetsu choshu, 特別徴収)). You do not need to pay it yourself.
- Everyone else pays it themselves with the payment slips sent around June (ordinary collection (futsu choshu, 普通徴収)).
- When you quit your job or leave Japan, decide in advance how you will handle any resident tax you have not yet paid.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”)
What Is Resident Tax?
- Resident tax is a tax (local tax) paid to the prefecture and the city, ward, town or village where you live. The prefecture’s portion and the city’s portion are combined and paid to the city, ward, town or village.
- Anyone who has an address in Japan on January 1 of that year and receives a salary or other income above a certain amount must pay it, including foreign residents.
- Even if you leave Japan on or after January 2, you still need to pay resident tax for that year.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”, Immigration Services Agency, “Guidebook on Living and Working,” Chapter 8, 2 Resident tax (PDF))
How Much Is It? The Income-Based Portion and the Flat-Rate Portion
Resident tax has an “income-based portion (shotokuwari, 所得割),” which depends on your income, and a “flat-rate portion (kintowari, 均等割),” a fixed amount charged regardless of income. The standard amounts set by the national government are as follows.
| Type | Standard amount | Breakdown |
|---|---|---|
| Income-based portion | 10% of income (after deductions) | Prefecture 4%, city/ward/town/village 6% |
| Flat-rate portion | 4,000 yen (per year) | Prefecture 1,000 yen, city/ward/town/village 3,000 yen |
| Forest environment tax (shinrin kankyo zei, 森林環境税; a national tax) | 1,000 yen (per year) | Since FY2024, paid together with the flat-rate portion |
- If you live in a designated city (a large city with a big population designated by the national government), the breakdown of the income-based portion is prefecture 2% and city 8% (the total is the same 10%).
- The income-based portion is calculated in this order:
- Subtract necessary expenses and so on from last year’s earnings to get your “income”
- Subtract “income deductions” such as the basic deduction and the dependent deduction from your income
- Multiply the remaining amount by 10%
- If you have “tax credits” such as for a housing loan or donations, subtract them from that amount
- Prefectures and cities, wards, towns and villages set their own tax rates based on this standard. Check the actual amount on the notice you receive.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax”)
You can see how much resident tax is deducted from your salary in the “deductions” section of your pay slip (the statement of your salary). For how to read it, see How to Read a Pay Slip in Japan: Payments, Deductions and Attendance Sections, and How Income Tax, Resident Tax and Social Insurance Premiums Are Deducted.
Are Some People Exempt from Resident Tax?
Yes. The following people do not have to pay resident tax (the municipal portion):
- People receiving livelihood assistance under public assistance
- People with disabilities, minors, widows and single parents whose total income for the previous year was 1,350,000 yen or less
- People with low income at or below the amount set by the city, ward, town or village’s ordinance (they are also exempt from the flat-rate portion)
The third standard differs depending on the city, ward, town or village, and also changes depending on things like the number of family members you support. To find out whether it applies to you, ask the tax counter of the city, ward, town or village where you live.
(Source: Local Tax Act, Article 295 (e-Gov Laws and Regulations Search), Ministry of Internal Affairs and Communications, “Individual inhabitant tax”)
If You Just Came to Japan, When Do You Start Paying?
Resident tax is decided by “whether you have an address on January 1” and “your income from the previous year.” Because of this, you often do not pay resident tax in the year you come to Japan, and start paying from around June of the following year.
Example: A person who came to Japan and started working in April 2026
- Because they did not have an address in Japan on January 1, 2026, they do not pay the resident tax for the year starting in June 2026.
- If they live in Japan on January 1, 2027, they pay resident tax calculated from their salary and other income from April to December 2026, starting around June 2027.
This is why resident tax does not appear on your pay slip when you have just started working in Japan. The amount deducted from your salary may change from around June of the following year.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”)
2 Ways to Pay: Special Collection and Ordinary Collection
| Way to pay | Who | How |
|---|---|---|
| Special collection (tokubetsu choshu) | People who work for a company (as a rule) | The company deducts it from your salary and pays it to the city, ward, town or village |
| Ordinary collection (futsu choshu) | People whose tax is not deducted from a company salary (self-employed people, people who quit their job, etc.) | You pay it yourself with the payment slips sent by the city, ward, town or village |
Special Collection: Deducted from Your Salary
- One year’s resident tax is divided into 12 installments and deducted from your monthly salary from June to May of the following year.
- The notice of the amount (special collection tax amount notice) is also given to you through your company.
- Companies that hire foreign nationals are also required to use special collection, in the same way as for Japanese employees.
(Source: Local Tax Act, Article 321-5 (e-Gov Laws and Regulations Search), Ministry of Internal Affairs and Communications, “Individual inhabitant tax”, Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”)
Ordinary Collection: Paying It Yourself
- Around June every year, the city, ward, town or village sends you a tax notice and payment slips.
- The payment periods (due dates) are, as a rule, 4 times a year in June, August, October and January, and are set by the city, ward, town or village’s ordinance. People who only pay the flat-rate portion pay once, in June.
- Take the payment slip and the amount of money written on it to a financial institution or other place and pay. The places and methods you can use are written on the documents you receive.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”, Local Tax Act, Article 320 (e-Gov Laws and Regulations Search), Immigration Services Agency, “Guidebook on Living and Working,” Chapter 8, 2 Resident tax (PDF))
Be Careful in These Situations
What Happens to Resident Tax When You Quit Your Job?
If you were having it deducted from your salary and you quit your job, you pay the resident tax you have not yet paid in one of the following ways:
- Pay it yourself (ordinary collection). A payment slip will be sent to you later by the city, ward, town or village.
- Ask your company to deduct the rest all at once from your last salary or retirement allowance (lump-sum collection)
If you quit between January and May, the rest is deducted all at once from your last salary or similar payment even if you do not ask.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”)
What About When You Leave Japan (Return Home)?
- If you lived in Japan on January 1, you must pay that year’s resident tax even if you leave Japan on or after January 2.
- If you cannot pay your resident tax by the day you leave, before you leave, choose someone living in Japan to handle your tax procedures on your behalf (a tax agent (nozei kanrinin, 納税管理人)) and notify the city, ward, town or village where you live.
(Source: Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”, Immigration Services Agency, “Guidebook on Living and Working,” Chapter 8, 2 Resident tax (PDF))
What Happens If You Forget to Pay?
- If you do not pay by the due date, late payment charges are added according to the number of days you are late.
- The Ministry of Internal Affairs and Communications states that if resident tax you should have paid has not been paid, applications such as for extending your period of stay may not be approved.
For when to apply to extend your period of stay, see When Can You Apply to Extend Your Period of Stay in Japan? Applying from 3 Months Before, Last-Minute Applications, and the Special Period.
(Source: Local Tax Act, Article 326 (e-Gov Laws and Regulations Search), Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”)
What If You Cannot Pay?
If you cannot pay, talk to the tax counter of your city, ward, town or village as soon as possible, before the due date. If you cannot pay all at once for reasons such as a disaster or theft, illness or injury of yourself or a family member you share a livelihood with, closing or suspending your own business, or a large loss in your business, there is a system (postponement of collection) where, if you apply, payment can be postponed for a period of up to 1 year. The city, ward, town or village decides whether you can use it.
(Source: Local Tax Act, Article 15 (e-Gov Laws and Regulations Search))
Where to Ask If You Have Questions
- For questions about resident tax, ask the tax section of your city, ward, town or village office (called “Shiminzei-ka (municipal tax section),” “Zeimu-ka (tax affairs section),” etc.; the name differs depending on the municipality). If you search for “(name of your city, ward, town or village) 住民税,” you can find the page for the counter.
- The Ministry of Internal Affairs and Communications also provides information on resident tax for foreign residents in English, Chinese, Vietnamese and Portuguese (you can find it from the primary source pages below).
Primary Sources Referenced in This Article
- Ministry of Internal Affairs and Communications, “Individual inhabitant tax for foreign residents”
- Ministry of Internal Affairs and Communications, “Individual inhabitant tax” (Easy guide to local taxes)
- Immigration Services Agency, “Guidebook on Living and Working,” Chapter 8 Taxes (PDF)
- Local Tax Act (e-Gov Laws and Regulations Search) Articles 15, 295, 320, 321-5 and 326
This article is a translation of the original Japanese version.
