Income
- Japanese
- 所得
Shotoku
The amount remaining after subtracting expenses deemed as 'necessary' from the individuals' earnings. The calculation of government agency applications is mainly based on the individuals income.
In private businesses, The 'income' means profits that are sales with necessary expenses subtracted. In terms of salary, income is defined as annual salary, and the government applies a formula based on an individuals earnings from their salary.
Benefits, Systems
Income that is not taxed
- Insurance and damages
- Public pension
- Insurance benefits from Health Insurance
- Employment Insurance
- Industrial Accident Compensation Insurance
- Lottery
- Welfare, Child Support
Type of income
- Salary income: If you are receiving salary
- Business income: Operating your own business
- Real estate income: You own property and receive rent payments
- Capital gains on transfer: When you sell/ trade real estate
Links of Keywords
Calculation Method
Amount of income such as salary
(Payment amount of salary income on withholding slip)
| Sarary(earnings) | Salary income deduction amount: |
| Up to 1,625,000 yen | 550,000 yen |
| From 1,625,001 yen to 1,800,000 yen | Salary(earnings) x 40%-100,000 yen |
| From 1,800,001 yen to 3,600,000 yen | Salary(earnings) x 30% + 80,000 yen |
| From 3,600,001 yen to 6,600,000 yen | Salary(earnings) x 20% + 440,000 yen |
|
From 6,600,001 yen to 8,500,000 yen 8,500,001yen |
Salary(earnings) x 10% + 1,100,000 yen or more 1,950,000 yen (maximum) |
Salary (earnings) - Salary income deduction = Salary income
Links of Keywords
Others (Note,important Points, Points)
If you have income other than your salary and are worried about filing your tax return, consult with the tax office or an expert prior to filing.