How to read a Japanese resident tax notice (住民税 納税通知書)
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Every year around June, residents of Japan receive a 「市民税・県民税 納税通知書」 (in Tokyo’s 23 wards, 「特別区民税・都民税」) from their city or ward office. It is the bill for resident tax. It looks full of tables and numbers, but only a few places really matter.
What is resident tax?
Resident tax is charged by the municipality you lived in on January 1, based on your income for the previous calendar year. Foreign residents with an address and income in Japan pay it too.
That is why you usually pay nothing in your first year in Japan and the notices start in your second year. Because it is based on last year’s income, it can feel high in a year when your income dropped.
Do you pay, or does your employer?
If the notice says 「普通徴収」 (ordinary collection), you pay it yourself with the payment slips. If it says 「特別徴収」 (special collection), your employer deducts it from your salary and you do not need to pay separately.
Company employees are usually on special collection and receive the notice through their employer. Self-employed people, freelancers and people who left a job get the ordinary collection notice at home.
Four things to check
- •年税額 (annual tax): the total resident tax for the year
- •期別 (installments): how many payments. Usually four (around June, August, October and the following January), but it varies by municipality
- •納期限 (due date): the last day to pay each installment
- •納付書 (payment slips): one slip per installment, enclosed with the notice
How to pay
Take the payment slip to a bank or post office, or to a convenience store if the slip has a barcode. Some municipalities also accept smartphone payment apps or credit cards. The back of the slip lists the options.
You can pay the whole year at once or each installment separately. Setting up bank account transfer (口座振替) means you will not forget.
If you missed a deadline
After the due date you will receive a 「督促状」 (reminder notice), and 「延滞金」 (late charges) may be added depending on how late you are. Long-term non-payment can lead to seizure of assets.
If you cannot pay all at once, contact the tax section (税務課) listed on the notice right away and ask about paying in installments.
Leaving Japan or moving
If you lived in Japan on January 1, you still owe that year’s resident tax after leaving. Pay the rest before you leave, or appoint someone in Japan as your tax agent (「納税管理人」).
If you move within Japan, the municipality where you lived on January 1 keeps billing that year’s tax.
ShoruiMate does not provide legal or tax advice. Confirm important details with the sender of the document.