Asked about Japanese income tax for self-employed individuals filing a final tax return (確定申告 Kakutei Shinkoku).
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General reference only
This Guide is general tax/accounting reference material for AI-assisted workflows. It has not been reviewed for your personal facts, documents, elections, deadlines, residency, filing status, or local procedures. Do not rely on it to file, pay, amend, or take a tax position without review by a qualified professional in the relevant jurisdiction.
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Every figure is drawn from this Tax Guide and cited to its source. See something that looks off?
National income tax rate — Band 1 (JPY 0–1,950,000)
5% with deduction amount JPY 0Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 2 (JPY 1,950,001–3,300,000)
10% with deduction amount JPY 97,500Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 3 (JPY 3,300,001–6,950,000)
20% with deduction amount JPY 427,500Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 4 (JPY 6,950,001–9,000,000)
23% with deduction amount JPY 636,000Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 5 (JPY 9,000,001–18,000,000)
33% with deduction amount JPY 1,536,000Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 6 (JPY 18,000,001–40,000,000)
40% with deduction amount JPY 2,796,000Shotokuzeiho (所得税法 Income Tax Act)
National income tax rate — Band 7 (JPY 40,000,001+)
45% with deduction amount JPY 4,796,000Shotokuzeiho (所得税法 Income Tax Act)
Reconstruction surtax (復興特別所得税) rate
2.1% of national income tax; applies 2013–2037; total national tax = income tax × 102.1%Act on Special Measures for Securing Financial Resources Necessary for Reconstruction
Resident tax (住民税) flat rate
10% of taxable income (4% prefectural + 6% municipal)Local Tax Act (地方税法)
Resident tax per-capita levy (均等割)
~JPY 5,000/yearLocal Tax Act (地方税法)
Forest environment tax (森林環境税)
JPY 1,000/year (from 2024)Forest Environment Tax and Forest Environment Transfer Tax Act (森林環境税及び森林環境譲与税に関する法律)
Cryptocurrency / miscellaneous income top marginal rate (including resident tax)
Up to 55%Shotokuzeiho (所得税法 Income Tax Act)
Blue return special deduction — double-entry bookkeeping + e-Tax filing
JPY 650,000Special Taxation Measures Act Art. 25-2
Blue return special deduction — double-entry bookkeeping + paper filing
JPY 550,000Special Taxation Measures Act Art. 25-2
Blue return special deduction — simplified bookkeeping (簡易簿記)
JPY 100,000Special Taxation Measures Act Art. 25-2
Blue return special deduction — white return
JPY 0Special Taxation Measures Act Art. 25-2
Final return (確定申告) filing deadline
15 March of the following yearShotokuzeiho (所得税法 Income Tax Act) Art. 120
Tax payment deadline
15 March of the following yearShotokuzeiho (所得税法 Income Tax Act)
Estimated tax (予定納税) 1st instalment deadline
31 JulyShotokuzeiho (所得税法 Income Tax Act) Art. 104-109
Estimated tax (予定納税) 2nd instalment deadline
30 NovemberShotokuzeiho (所得税法 Income Tax Act) Art. 104-109
Resident tax payment schedule (quarterly)
June, August, October, JanuaryLocal Tax Act (地方税法)
Blue return advance application (Form 144 — 青色申告承認申請書) deadline
15 March of the target tax yearShotokuzeiho (所得税法 Income Tax Act) Art. 144
Estimated tax (予定納税) trigger threshold — prior year national income tax
JPY 150,000Shotokuzeiho (所得税法 Income Tax Act) Art. 104-109
Estimated tax instalment amount
Each instalment = 1/3 of prior year's national income tax (two instalments)Shotokuzeiho (所得税法 Income Tax Act) Art. 104-109
Late filing penalty (無申告加算税) — voluntary within 1 month
5% of additional taxNational Tax General Rules Act (国税通則法)
Late filing penalty — after notice or more than 1 month
15% on first JPY 500,000 + 20% on excessNational Tax General Rules Act (国税通則法)
Under-reporting penalty (過少申告加算税)
10% of additional taxNational Tax General Rules Act (国税通則法)
Fraud / concealment penalty (重加算税)
35–40%National Tax General Rules Act (国税通則法)
Late payment interest (延滞税) — first 2 months
~2.4% per annumNational Tax General Rules Act (国税通則法)
Late payment interest (延滞税) — after 2 months
~8.7% per annumNational Tax General Rules Act (国税通則法)
Basic deduction (基礎控除) — standard (total income JPY 6,550,001–23,500,000)
JPY 580,000Shotokuzeiho (所得税法 Income Tax Act) Art. 86
2025 Enhanced basic deduction — total income up to JPY 1,320,000
JPY 950,000Shotokuzeiho (所得税法 Income Tax Act)
2025 Enhanced basic deduction — total income JPY 1,320,001–2,695,000
JPY 880,000Shotokuzeiho (所得税法 Income Tax Act)
2025 Enhanced basic deduction — total income JPY 2,695,001–6,550,000
JPY 680,000Shotokuzeiho (所得税法 Income Tax Act)
2025 Basic deduction — total income above JPY 25,000,000
JPY 0Shotokuzeiho (所得税法 Income Tax Act)
Social insurance deduction (社会保険料控除) — national pension + health insurance
Full amount paidShotokuzeiho (所得税法 Income Tax Act) Art. 74
Small enterprise mutual aid (小規模企業共済) deduction
Full amount paidShotokuzeiho (所得税法 Income Tax Act) Art. 75; Small Enterprise Mutual Aid Act
iDeCo contribution deduction
Full amount paidShotokuzeiho (所得税法 Income Tax Act) Art. 75; Defined Contribution Pension Act
Life insurance premium deduction (生命保険料控除) — combined maximum
Up to JPY 120,000Shotokuzeiho (所得税法 Income Tax Act) Art. 76
Spouse deduction (配偶者控除) — maximum
Up to JPY 380,000 (if spouse income ≤ JPY 480,000)Shotokuzeiho (所得税法 Income Tax Act) Art. 83
Dependent deduction (扶養控除) per dependent
JPY 380,000–630,000 per dependentShotokuzeiho (所得税法 Income Tax Act) Art. 84
White return spouse notional salary allowance (専従者控除)
JPY 500,000 for spouseShotokuzeiho (所得税法 Income Tax Act)
White return other family member notional salary allowance (専従者控除)
JPY 860,000 for other family membersShotokuzeiho (所得税法 Income Tax Act)
Taxable income rounding rule
Round DOWN to nearest JPY 1,000 before applying ratesNational Tax General Rules Act (国税通則法)
Final tax rounding rule
Round DOWN to nearest JPY 100National Tax General Rules Act (国税通則法)
Tax year
Calendar year — 1 January to 31 DecemberShotokuzeiho (所得税法 Income Tax Act)
Withholding rate on professional fees (源泉徴収)
10.21% (10% + 2.1% reconstruction surtax)Shotokuzeiho (所得税法 Income Tax Act); Act on Special Measures for Securing Financial Resources Necessary for Reconstruction
Withholding threshold — professional fees paid by corporations
Applies when client is a corporation paying > JPY 1,000 per paymentShotokuzeiho (所得税法 Income Tax Act)
Immediate expensing threshold — low-value assets (少額減価償却資産)
Under JPY 100,000: expense immediatelyShotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Uniform 3-year depreciation option (一括償却資産) — asset cost range
JPY 100,000–JPY 199,999: option to depreciate uniformly over 3 yearsShotokuzeiho (所得税法 Income Tax Act) Art. 49
Blue return immediate expensing limit per item
Under JPY 300,000 per item (aggregate limit JPY 3,000,000/year)Special Taxation Measures Act (租税特別措置法)
Useful life — personal computers
4 years; declining balance rate 0.500Shotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Useful life — servers
5 years; declining balance rate 0.400Shotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Useful life — office furniture (wood)
8 years; declining balance rate 0.250Shotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Useful life — motor vehicles (standard)
6 years; declining balance rate 0.333Shotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Useful life — software (purchased)
3–5 years; varying ratesShotokuzeiho (所得税法 Income Tax Act) Art. 49; NTA depreciation tables
Software subscription expensing threshold
Under JPY 100,000: fully deductible; JPY 100,000 and over: depreciateShotokuzeiho (所得税法 Income Tax Act) Art. 49
Consumption tax registration threshold
Annual revenue > JPY 10,000,000 in prior 2 yearsConsumption Tax Act (消費税法)
Net operating loss carry-forward — blue return
3 years (blue return only; not available for white return)Shotokuzeiho (所得税法 Income Tax Act) Art. 70
Blue return advance application form
Form 144 (青色申告承認申請書) must be submitted by 15 March of target yearShotokuzeiho (所得税法 Income Tax Act) Art. 144
Business income legislation citation
Income Tax Act Art. 27Shotokuzeiho (所得税法 Income Tax Act) Art. 27
Necessary expenses legislation citation
Income Tax Act Art. 37Shotokuzeiho (所得税法 Income Tax Act) Art. 37
Blue return (青色申告) legislation
Income Tax Act Art. 143–148Shotokuzeiho (所得税法 Income Tax Act) Art. 143-148
Income deductions (所得控除) legislation
Income Tax Act Art. 72–86Shotokuzeiho (所得税法 Income Tax Act) Art. 72-86
Estimated tax (予定納税) legislation
Income Tax Act Art. 104–109Shotokuzeiho (所得税法 Income Tax Act) Art. 104-109
NTA acceptable home office apportionment range — full-time home workers
20–50%National Tax Agency (NTA) administrative guidance
Quick Reference
| Field | Value |
|---|---|
| Country | Japan (日本) |
| Tax | Shotokuzei (所得税) + Fukko Tokubetsu Shotokuzei (復興特別所得税 2.1%) + Juminzei (住民税 10%) |
| Currency | JPY only |
| Tax year | Calendar year (1 January -- 31 December) |
| Primary legislation | Shotokuzeiho (所得税法 Income Tax Act) |
| Tax authority | National Tax Agency (国税庁 NTA) |
| Filing portal | e-Tax (国税電子申告・納税システム) |
| Filing deadline | 15 March of the following year |
| Contributor | Open Accountants Community |
| Validated by | Pending -- requires sign-off by a Japanese 税理士 (Zeirishi) |
| Skill version | 2.0 |
National Income Tax Rate Table (2025)
| Taxable Income (JPY) | Rate | Deduction Amount (控除額) |
|---|---|---|
| 0 -- 1,950,000 | 5% | 0 |
| 1,950,001 -- 3,300,000 | 10% | 97,500 |
| 3,300,001 -- 6,950,000 | 20% | 427,500 |
| 6,950,001 -- 9,000,000 | 23% | 636,000 |
| 9,000,001 -- 18,000,000 | 33% | 1,536,000 |
| 18,000,001 -- 40,000,000 | 40% | 2,796,000 |
| 40,000,001+ | 45% | 4,796,000 |
Blue Return Special Deduction (2025)
| Condition | Deduction (JPY) |
|---|---|
| Double-entry (複式簿記) + e-Tax filing | 650,000 |
| Double-entry + paper filing | 550,000 |
| Simplified bookkeeping (簡易簿記) | 100,000 |
| White return | 0 |
Conservative Defaults
| Ambiguity | Default |
|---|---|
| Return type unknown | White return (0 special deduction) |
| Bookkeeping method unknown | Simplified (100,000 deduction) |
| Home office apportionment unknown | 0% deduction until confirmed |
| Business vs personal expense unclear | Non-deductible |
| Withholding tax credit not confirmed | Exclude until verified |
Red Flag Thresholds
| Flag | Threshold |
|---|---|
| Consumption tax registration required | Annual revenue > JPY 10,000,000 in prior 2 years |
| Withholding applies to professional fees | Client is a corporation paying > JPY 1,000 per payment |
| Blue return requires advance application | Form 144 (青色申告承認申請書) by 15 March of target year |
| Loss carry-forward | Blue return only -- 3 years |
| Blue return asset expensing limit | JPY 300,000/item (aggregate JPY 3,000,000/year) |
Minimum viable: Bank statement for the full calendar year (January--December) in CSV, PDF, or pasted text. Confirmation of return type (blue/white) and bookkeeping method.
Recommended: All invoices issued (Misoca, freee, MF Cloud), withholding tax certificates (源泉徴収票) from clients, national pension payment receipts (国民年金), national health insurance receipts (国民健康保険).
Ideal: Complete double-entry general ledger, asset register, prior year return (申告書 copy), e-Tax filing confirmation, iDeCo/small enterprise mutual aid (小規模企業共済) contribution statements.
This is the deterministic pre-classifier. When a bank statement line matches a pattern, apply the treatment directly. If no pattern matches, fall through to Tier 1 rules in Section 5.
Income Patterns (Credits -- 入金)
| Pattern | Tax Line | Treatment | Notes |
|---|---|---|---|
| 振込 [client name] / 入金 [client company] | 事業収入 (business revenue) | Gross revenue | Professional fee from client |
| 銀行振込 [sender] / 普通振込 | 事業収入 | Revenue | Standard bank transfer from client |
| STRIPE PAYOUT / STRIPE TRANSFER | 事業収入 | Revenue | Stripe Japan / international clients -- match to invoices |
| PAYPAL TRANSFER / ペイパル | 事業収入 | Revenue | International client payments |
| freee PAYMENT / フリー支払 | 事業収入 | Revenue | freee Payments platform settlement |
| Amazon Pay 振込 / Amazonペイ | 事業収入 | Revenue | E-commerce platform payout |
| BASE SETTLEMENT / BASE振込 | 事業収入 | Revenue | BASE (JP e-commerce) settlement |
| メルカリ振込 / MERCARI | 事業収入 | Revenue | Mercari business seller payout |
| 報酬振込 [client] | 事業収入 | Revenue | Honorarium / professional fee |
| 源泉徴収後振込 [amount] | 事業収入 (gross-up required) | Revenue -- GROSS UP | Client withheld 10.21%; gross up to full invoice amount |
| 給与振込 [employer] | 給与所得 (employment income) | NOT business income | Employment wage -- separate Anlage equivalent: 給与所得 |
| 利子 / 利息 [bank] | 利子所得 (interest income) | NOT business income | Bank interest -- separate income category |
| 配当金 [company] | 配当所得 (dividend income) | NOT business income | Dividend |
| 還付金 国税局 / 税金還付 | EXCLUDE | Not income | Tax refund not taxable |
| 贈与 / 振込 PERSONAL | EXCLUDE | Personal transfer | Personal gifts / personal transfers |
Expense Patterns (Debits -- 出金)
| Pattern | Tax Line (必要経費) | Treatment | Notes |
|---|---|---|---|
| 事務所賃料 / オフィス家賃 [landlord] | 地代家賃 (rent) | Fully deductible | Dedicated business premises |
| 電気料金 [TEPCO/関西電力/中部電力/九州電力] | 水道光熱費 (utilities) | Business portion deductible | Home office: apportion by floor area or time |
| 水道料金 / 水道局 | 水道光熱費 | Business portion | Apportion if home office |
| インターネット [NURO/フレッツ/au/ドコモ光] | 通信費 (communications) | Business portion only | Default: ask client for % |
| 携帯電話 [ドコモ/au/SoftBank/楽天モバイル] | 通信費 | Business portion only | Mixed use: apportion |
| 交通費 [JR/東京メトロ/新幹線/バス] | 旅費交通費 (travel) | Fully deductible if business | IC card statements are acceptable |
| 航空券 [ANA/JAL/LCC] | 旅費交通費 | Fully deductible if business purpose | Keep booking confirmation |
| 接待 [restaurant] / 飲食 | 接待交際費 (entertainment) | Deductible if business purpose | No statutory cap for sole proprietors; document names, purpose |
| 書籍 [Amazon Japan/紀伊國屋/丸善] | 新聞図書費 (books/publications) | Fully deductible if professional | |
| セミナー [event] / 研修費 | 研修費 (training) | Fully deductible | |
| ソフトウェア [Adobe/Microsoft/Figma/Notion] | 消耗品費 or 減価償却費 | Under JPY 100,000: fully deductible; over: depreciate | Subscription vs perpetual licence distinction |
| 広告費 [Google Ads/Meta Ads] | 広告宣伝費 (advertising) | Fully deductible | |
| 税理士報酬 / 会計士報酬 | 税理士・弁護士費用 | Fully deductible | Professional adviser fees |
| 損害保険 [business] | 損害保険料 (insurance) | Fully deductible | Business liability only |
| 外注費 / フリーランス費用 | 外注工賃 (subcontracting) | Fully deductible | |
| 銀行手数料 / 振込手数料 | 雑費 (miscellaneous) | Fully deductible | Business account only |
| 国民年金 / 国民年金保険料 | 社会保険料控除 (NOT 必要経費) | EXCLUDE from business expenses | Deducted as income deduction (所得控除), not business expense |
| 国民健康保険 / 国保料 | 社会保険料控除 (NOT 必要経費) | EXCLUDE from business expenses | Same -- income deduction, not business expense |
| 所得税 振替 / 住民税 口座振替 | EXCLUDE | Tax payments | Not deductible |
| 生命保険 [Nippon Life/Dai-ichi/明治安田] | 生命保険料控除 (NOT 必要経費) | EXCLUDE from business expenses | Personal insurance = income deduction |
| プライベート引き出し / ATM出金 | EXCLUDE | Personal withdrawal | Drawings -- not business expense; ask what it was for |
SaaS / Cloud Service Patterns
| Pattern | Treatment | Notes |
|---|---|---|
| Adobe Systems / Adobe Creative Cloud | 消耗品費 (operating expense) | Subscription: fully deductible. Check if annual or monthly. |
| Microsoft / Office 365 / M365 | 消耗品費 | Subscription: deductible |
| Google Workspace / G Suite | 消耗品費 | Subscription: deductible |
| freee / Money Forward Cloud / Yayoi | 消耗品費 | Accounting software: deductible |
| Slack / Notion / Figma | 消耗品費 | Business SaaS: deductible |
| AWS Japan / Amazon Web Services | 消耗品費 | Cloud hosting: deductible |
Input line (三菱UFJ Bank / Mitsubishi UFJ Bank statement):
2025/03/15 | 振込入金 デザインスタジオABC | +350,000 | 残高 1,240,500
Reasoning: Wire transfer from a business client for design services. This is 事業収入 (business revenue). If client is a corporation and fee ≥ JPY 1,000, they are required to withhold 10.21% (source tax). Check whether the JPY 350,000 is net of withholding. If invoice was JPY 390,000 and client withheld JPY 39,819 (10.21%), the bank statement would show JPY 350,181. Always gross up to invoice amount.
Classification: 事業収入 JPY 350,000 (or gross up if TDS was deducted).
Input line (楽天銀行 Rakuten Bank statement):
2025/05/20 | 振込 株式会社マーケティングXYZ 源泉後 | +107,892 | Ref: 202505-0234
Reasoning: Received JPY 107,892. Likely gross invoice of JPY 120,000 with 10.21% withholding = JPY 12,252 withheld. Net paid = JPY 107,748 (minor rounding applies per Japanese rules). The gross income is JPY 120,000. The withheld amount JPY 12,252 is a tax credit (源泉徴収税額) claimed on the final return. Verify against client's withholding certificate (支払調書).
Classification: 事業収入 JPY 120,000 (gross). Tax credit: JPY 12,252.
Input line (ゆうちょ銀行 Japan Post Bank statement):
2025/04/30 | 国民年金保険料 振替 | -16,590 | 残高 852,410
Reasoning: National pension premium (国民年金保険料) JPY 16,590. This is NOT a business expense (必要経費). It is an income deduction (社会保険料控除 -- social insurance deduction) under Section 79 of the Income Tax Act. Remove from the business expense schedule. Record in the 所得控除 (income deductions) section -- fully deductible as social insurance deduction.
Classification: EXCLUDE from 必要経費. Record as 社会保険料控除.
Input line (住信SBIネット銀行 SBI Sumishin Net Bank statement):
2025/07/10 | NURO光 利用料 | -5,500 | 残高 423,800
Reasoning: Monthly internet bill (NURO Hikari) JPY 5,500. This is a mixed-use expense -- used for both business and personal internet access. NTA accepts a reasonable business apportionment. If the taxpayer estimates 70% business use (working from home full-time), then JPY 3,850 is deductible. If no apportionment can be supported, default is 0%.
Classification: 通信費 -- PENDING apportionment. Default: 0%. Flag for reviewer.
Input line (三井住友銀行 SMBC statement):
2025/09/01 | ADOBE SYSTEMS | -72,600 | 残高 1,540,200
Reasoning: Adobe Creative Cloud annual subscription JPY 72,600. This is a subscription (月額/年額契約), not a perpetual licence. Subscription costs are 消耗品費 (consumables/operating expenses) deductible in full in the year paid, regardless of the JPY 100,000 capitalisation threshold (which applies to assets, not subscriptions).
Classification: 消耗品費 JPY 72,600. Fully deductible.
Input line (みずほ銀行 Mizuho Bank statement):
2025/11/12 | デビットカード 銀座レストランXX | -48,000 | 残高 3,210,500
Reasoning: Restaurant meal JPY 48,000. If this was a client entertainment dinner (接待交際費), it is deductible as a business expense for sole proprietors -- Japan has NO statutory percentage limit for sole proprietors (unlike Germany's 70% rule). However, excessive entertainment will attract NTA scrutiny. Must document: date, restaurant name, names of attendees, business purpose.
Classification: 接待交際費 JPY 48,000. Fully deductible if properly documented. Flag for reviewer if aggregate entertainment is high.
Blue Return Special Deduction (青色申告特別控除) (Measures Act Article 25-2)
| Method | Deduction | Conditions |
|---|---|---|
| Double-entry + e-Tax | JPY 650,000 | Must file via e-Tax AND maintain double-entry books |
| Double-entry + paper | JPY 550,000 | Double-entry books, paper filing |
| Simplified bookkeeping | JPY 100,000 | Simplified (簡易簿記) books, either filing method |
| White return | JPY 0 | No special deduction |
Depreciation (減価償却) (Income Tax Act Article 49; NTA depreciation tables)
| Asset | Useful Life | Declining Balance Rate |
|---|---|---|
| Personal computers | 4 years | 0.500 |
| Servers | 5 years | 0.400 |
| Office furniture (wood) | 8 years | 0.250 |
| Motor vehicles (standard) | 6 years | 0.333 |
| Software (purchased) | 3-5 years | varies |
Income Deductions (所得控除)
| Deduction | Amount (2025) |
|---|---|
| Basic deduction (基礎控除) | JPY 580,000 (standard); temporary enhancement for income ≤ JPY 6,550,000 -- see below |
| Social insurance (社会保険料控除) | Full amount paid (national pension + health insurance) |
| Small enterprise mutual aid (小規模企業共済) | Full amount paid |
| iDeCo contributions | Full amount paid |
| Life insurance (生命保険料控除) | Up to JPY 120,000 combined |
| Spouse deduction (配偶者控除) | Up to JPY 380,000 (if spouse income ≤ JPY 480,000) |
| Dependent deduction (扶養控除) | JPY 380,000--630,000 per dependent |
2025 Temporary Enhanced Basic Deduction
| Total Income (合計所得金額) | Basic Deduction (2025) |
|---|---|
| Up to JPY 1,320,000 | JPY 950,000 |
| JPY 1,320,001 -- 2,695,000 | JPY 880,000 |
| JPY 2,695,001 -- 6,550,000 | JPY 680,000 |
| JPY 6,550,001 -- 23,500,000 | JPY 580,000 |
| Above JPY 25,000,000 | JPY 0 |
Filing Deadlines
| Item | Deadline |
|---|---|
| Final return (確定申告) | 15 March of following year |
| Tax payment | 15 March |
| Estimated tax (予定納税) 1st | 31 July |
| Estimated tax 2nd | 30 November |
| Resident tax payment (quarterly) | June, August, October, January |
Penalties
| Offence | Penalty |
|---|---|
| Late filing (within 1 month, voluntary) | 5% of additional tax (無申告加算税) |
| Late filing (after notice or > 1 month) | 15% on first JPY 500,000 + 20% on excess |
| Under-reporting | 10% of additional tax |
| Fraud / concealment | 35-40% (重加算税) |
| Late payment interest (延滞税) | ~2.4% for first 2 months, ~8.7% thereafter |
NTA accepts reasonable apportionment of home rent, electricity, internet by floor area ratio or time-based ratio. No requirement for a dedicated room. Acceptable range: 20-50% for full-time home workers. Must be documented and consistent year to year.
Flag for reviewer: Confirm apportionment method, floor area, and documentation.
Sole proprietors using a vehicle for business can deduct a proportion of running costs (fuel, insurance, road tax, depreciation). Requires either a mileage log or a reasonable percentage documented.
Flag for reviewer: Confirm business-use percentage and documentation.
Japan has no statutory cap on entertainment deductions for sole proprietors. However, unusually high entertainment expenses relative to revenue will attract NTA scrutiny. Each meal/event should be documented with attendee names, business purpose, date, venue.
Blue return filers may deduct salaries paid to family members working in the business (pre-registered as 専従者). White return filers are limited to a notional allowance (JPY 500,000 for spouse, JPY 860,000 for others). Flag if family salaries appear in bank data.
Contributions to iDeCo (個人型確定拠出年金) or small enterprise mutual aid (小規模企業共済) are fully deductible as income deductions. Large contributions can significantly reduce tax liability. Flag if client mentions these -- confirm amounts from contribution statements.
確定申告 WORKING PAPER -- Tax Year 2025
Taxpayer: _______________ My Number: ___________
Return type: Blue (double-entry / simplified) / White [circle one]
Filing method: e-Tax / Paper [circle one]
A. 事業収入 (GROSS BUSINESS REVENUE)
A1. Total invoiced / received ___________
A2. Less: consumption tax collected (if CT-registered) ___________
A3. Net business revenue ___________
B. 必要経費 (NECESSARY EXPENSES)
B1. 地代家賃 (rent / office costs) ___________
B2. 水道光熱費 (utilities -- business %) ___________
B3. 通信費 (phone/internet -- business %) ___________
B4. 旅費交通費 (travel) ___________
B5. 接待交際費 (entertainment) ___________
B6. 広告宣伝費 (advertising) ___________
B7. 消耗品費 (consumables / SaaS) ___________
B8. 減価償却費 (depreciation) ___________
B9. 外注工賃 (subcontracting) ___________
B10. 税理士費用 (adviser fees) ___________
B11. 雑費 (bank charges, misc) ___________
B12. Total 必要経費 ___________
C. 事業所得 BEFORE DEDUCTION (A3 - B12) ___________
D. 青色申告特別控除 (Blue return deduction) ___________
E. 事業所得 (C - D) ___________
F. 所得控除 (INCOME DEDUCTIONS)
F1. 基礎控除 (basic deduction) ___________
F2. 社会保険料控除 (NHI + pension) ___________
F3. 小規模企業共済等 (iDeCo, etc.) ___________
F4. 生命保険料控除 ___________
F5. 配偶者控除 / 扶養控除 ___________
F6. Total 所得控除 ___________
G. 課税所得 (E - F6) -- round down to 1,000 ___________
H. 所得税 (apply rate table) ___________
I. 復興特別所得税 (H x 2.1%) ___________
J. TOTAL NATIONAL TAX (H + I) ___________
K. 源泉徴収税額 (withholding credits) ___________
L. 予定納税 (estimated tax credits) ___________
M. NET TAX DUE / REFUND (J - K - L) ___________
REVIEWER FLAGS:
[ ] Blue return application filed in advance?
[ ] Bookkeeping method confirmed (double-entry vs simplified)?
[ ] Home office apportionment documented?
[ ] Withholding credits verified against 支払調書?
[ ] National pension / NHI receipts confirmed?
Japanese Bank Statement Formats
| Bank | Format | Key Fields |
|---|---|---|
| 三菱UFJ (MUFG) | CSV / PDF | 日付, 摘要, お引出し, お預入れ, 残高 |
| みずほ銀行 (Mizuho) | CSV | 取引年月日, 摘要, お支払金額, お預り金額, 差引残高 |
| 三井住友銀行 (SMBC) | CSV / PDF | 年月日, 摘要, 支払金額, 預入金額, 残高 |
| 楽天銀行 (Rakuten Bank) | CSV | 取引日, 入出金(円), 残高(円), 取引名称, 利用先 |
| ゆうちょ銀行 (Japan Post Bank) | CSV | 年月日, 摘要, 支払金額, 預入金額, 差引残高 |
| 住信SBIネット銀行 (SBI Sumishin) | CSV | 取引日, 内容, 出金金額, 入金金額, 残高 |
Key Japanese Banking Terms
| Japanese Term | English | Classification Hint |
|---|---|---|
| 振込入金 | Wire transfer in | Potential income |
| 振込出金 / 振込手数料 | Wire transfer out / fee | Potential expense or bank fee |
| 自動振替 | Auto debit | Regular expense (utilities, insurance) |
| カード利用 | Card payment | Identify payee |
| ATM出金 | ATM withdrawal | Personal -- ask purpose |
| 利息 / 利子 | Interest | Other income |
| 税金 口座振替 | Tax payment auto-debit | Exclude (tax payment) |
| 国民年金 振替 | Pension auto-debit | Income deduction (not expense) |
| 国保 振替 | Health insurance auto-debit | Income deduction (not expense) |
If the client provides a bank statement but cannot answer onboarding questions immediately:
Present these questions:
ONBOARDING QUESTIONS -- JAPAN INCOME TAX (確定申告)
1. Blue return or white return (青色申告 or 白色申告)?
2. Bookkeeping: double-entry (複式簿記) or simplified (簡易簿記)?
3. Filing method: e-Tax or paper?
4. Are you registered for consumption tax (消費税)?
5. Home office: what % of home floor area is used for business?
6. Withholding (源泉徴収): do any clients deduct tax before paying?
7. Do you have a 支払調書 (payment record) from each withholding client?
8. iDeCo or 小規模企業共済 contributions this year?
9. Spouse / dependents?
10. Prior year estimated tax (予定納税) notices?
Key Legislation
| Topic | Article |
|---|---|
| Business income (事業所得) | Income Tax Act Art. 27 |
| Necessary expenses (必要経費) | ITA Art. 37 |
| Blue return (青色申告) | ITA Art. 143-148 |
| Blue return special deduction | Special Taxation Measures Act Art. 25-2 |
| Depreciation | ITA Art. 49 |
| Income deductions (所得控除) | ITA Art. 72-86 |
| Reconstruction surtax | Act on Special Measures for Securing Financial Resources Necessary for Reconstruction |
| Estimated tax (予定納税) | ITA Art. 104-109 |
Changelog
| Version | Date | Change |
|---|---|---|
| 2.0 | April 2026 | Full rewrite to v2.0 structure; Japanese bank format guide; local platform patterns; worked examples |
| 1.0 | 2025 | Initial version |
This skill and its outputs are provided for informational and computational purposes only and do not constitute tax, legal, or financial advice. Open Accountants and its contributors accept no liability for any errors, omissions, or outcomes arising from the use of this skill. All outputs must be reviewed and signed off by a qualified professional (such as a 税理士 or equivalent licensed practitioner in Japan) before filing or acting upon.
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