2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Tax

Blue return form of corporate tax system

Tax return forms for corporations come in two formats: white forms and blue forms. A corporation may file a blue form tax return with approval from the appropriate national tax office. Corporations filing blue form tax returns enjoy a variety of tax benefits. To receive approval from the tax office to file a blue form tax return, a corporation must submit an application for approval prepared in the prescribed format no later than the day prior to the starting day of the taxable year. Newly established subsidiary companies and foreign corporations establishing new branch offices in Japan must submit the application for approval no later than the day prior to […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Tax

Deadline of corporate tax filings

Corporations must file a final tax return for such as corporate tax, corporate inhabitant tax and enterprise tax on their income within two months from the day following the last day of each taxable year. However, an extension of the deadline for filing a final tax return may be requested, with approval from the director of the taxation office, when a corporation is unable to file a final tax return because the accounting auditor has not completed the audit or because accounts remain unsettled for other unavoidable reasons. The income and tax amounts to be entered in the final tax return must be calculated in accordance with the statement of […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Tax

Treatment of net losses in corporate tax

Net losses under income in each business year are carried forward for certain years. Losses may only be carried forward in this way if a blue form tax return is filed for the business year in which the loss arose, and a final tax return is then filed every subsequent year. Note that if a corporation, for example, is a wholly owned subsidiary of a large corporation, the amount of loss that may be deducted from income cannot exceed certain percentage of income. Other corporations, such as prescribed small and medium-sized enterprises that file a blue return, are also allowed to carry back a loss to the business year commencing […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Tax

Taxable remittance in Japan

Remittances made by a branch of a foreign corporation to its head office cannot as a general rule be treated as expenses by the payer branch. On the other hand, remittances made by subsidiary companies to their parent company arise from business-to-business transactions, and so are generally regarded as payments of costs/expenses, distributions of profits, loans (or repayments of loans), and so forth depending on the nature of the transaction concerned. Certain of these costs/expenses are deducted when calculating the income of the payer subsidiary companies. Some of the payments regarded as income of the parent company (e.g., payments of interest, dividends or usage fees) require withholding of income tax […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Tax

Japanese Corporate Tax System overview

Corporations engaged in economic activities in Japan are subject to taxes in Japan on the profits generated by those economic activities. Steps have been taken, however, to ensure that the tax system does not impose unfair burdens on multinational corporations engaged in economic activities in Japan on the basis of the mode of their business presence in Japan. Income of corporations established in Japan is, as a rule and with the exception of certain non-taxable and tax-exempt income, subject to taxation, regardless of where it was generated (i.e., the source country of income), but when that income includes profits earned in foreign countries that are taxed in the source countries […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Visa

When do you must change your Status of Residence?

A foreigner residing in Japan who wishes to cease the activities in which he/she is currently engaged and to engage exclusively in activities belonging to a status of residence other than that which he/she presently holds must apply and receive permission for a change of status of residence. For example, a foreign national dispatched from a parent company in a foreign country to a subsidiary in Japan and currently residing in Japan on an “Intra-company Transferee” status of residence who wishes to resign from the company to which he is dispatched and to invest in and operate his own company needs to apply and receive permission for a change to […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Visa

Temporary visitor status

Temporary visitor status covers tourism, recuperation, sports, visits to relatives, field trips, participation in short courses or meetings, business liaison and similar activities undertaken staying temporarily in Japan. Holders of temporary visitor status may not engage in working activities. Some concrete examples of the type of person involved in business who would be covered by this status are as follows: 1 Persons staying in Japan for the purpose of field trips and inspections (e.g. plant tours and trade fair visits) 2 Persons participating in short courses and briefings organized by companies 3 Persons participating in conferences and other meetings 4 Persons sent to Japan for business liaison, business negotiations, contract […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Visa

Overview of Japan Immigration lawyer (Gyoseishoshi lawyer)

In Japan, administrative scriveners (Gyoseishoshi lawyers) are among the specialists who can provide advice on the immigration procedures described above. Administrative scriveners that have registered with the Immigration Bureau to serve as application agents are knowledgeable on immigration control procedures and can act as agents for the submission of applications to the Immigration Bureau for certificates of eligibility, extensions of period of stay, changes of status of residence, and re-entry permissions, etc. (As individual administrative scriveners work in distinct specialties within their broad-ranging profession, not all administrative scriveners are registered in this way to act as application agents). Administrative scriveners can also offer guidance on documents needed for applications, provide […]
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Visa

Flow of Certificate of Eligibility(CoE) to Japan entry

1 Apply Certificate of Eligibility (submitted to Immigration Bureau in Japan) by his/her proxy such as administrative scriveners (gyoseishoshi lawyers) in Japan. 2 Issuance of Certificate of Eligibility (by Immigration Bureau in Japan) to above proxy in Japan 3 An applicant applies for visa accompanied by Certificate of Eligibility at Japanese diplomatic mission abroad 4 Visa issue at Japanese diplomatic mission abroad and enter Japan 5 Enter Japan with entry visa issued in above 6 Receive Resident Card at the airport after admitting status of residence by the Immigration Officer 7 Register your address in Japan at Ward Office (Kuyakusho/Shiyakusho)
2020年2月26日 / Last updated : 2020年2月26日 Alex Chen Visa

Japanese Visa System overview

Any foreign national wishing to enter Japan must have a valid passport with a visa corresponding to his/her purpose of entry into Japan. Upon landing in Japan, the foreign national must then be screened by, and receive a landing permission stamp from, an immigration officer at the port of entry, who will decide on the foreign national’s status of residence and period of stay. However, within the context of entry and residence procedures, “visa” and “status of residence” are two terms easily and often confused. “Visa” is a recommendation required for entry into Japan received in advance from a Japanese diplomatic mission abroad certifying that the passport is valid and […]