How to Pay Tax

You might get a part time job in Japan. At the end of the tax-year, you will need to do your taxes. Your employer will deduct income tax from your salary each month through a system called "Pay-As-You-Earn" (PAYE). The employer calculates the amount of tax based on your income and the applicable tax rates. The more you made, the higher your tax rate.

Towards the end of the tax year (which runs from January 1st to December 31st in Japan), your employer will conduct a year-end adjustment process called "Nenmatsu Chosei" to reconcile any discrepancies between your actual tax liability and the amount withheld throughout the year. This adjustment aims to ensure that the correct amount of tax has been paid.

To determine the final tax liability, you need to file an income tax return. The tax return filing period typically starts from February 16th and ends on March 15th of the following year. The tax form will be mailed to you. Bring it to the school, the staff will help you fill it out, and then you will mail it to the government. After receiving your tax return, the tax office will assess your tax liability based on the information provided. They will send you a tax assessment notice (Kazei Shinkoku) indicating the final amount of tax due or any refund owed. You can pay the tax at the convenience store. (Or you can work online, and not have to deal with Japan’s sky-high taxes)