Can you explain Japanese taxes?

Taxes levied in Japan are roughly classified into two categories: national taxes levied by the nation and local taxes levied by local governments (prefectures, cities, towns and villages).

Regarding taxes on incomes, there are income taxes and resident taxes. In the case of salaried workers, these taxes are generally automatically withheld from their incomes at the source, but others need to declare their incomes to a tax office.

Income taxes are imposed on one's income earned in the current year by the central government. Excess and deficiency of taxes are adjusted at each year end. Treatment of income taxes is different depending on whether the foreign national concerned is a resident or non-resident. (Note: A person entering Japan as an employee is deemed to be a resident immediately upon his/her entry into Japan, except for those whose period of stay is apparently less than one year.) For further details, make inquiries at the nearest tax office

Resident taxes are imposed on one's income earned during the previous year by prefectural and municipal governments. Resident taxes are levied on those who reside in each prefecture or municipality as of January 1 each year.

For further details, make inquiries to the section concerned at municipal offices or prefectural tax offices.