Japanese Business Glossary

扶養家族 (fuyo kazoku) in Japanese refers to "dependents" or "family members under support." This term is used to describe individuals who rely on someone else, usually the head of the household, for financial support and care.

Dependents can include children, a spouse, elderly parents, or other relatives who are unable to support themselves financially. In the context of taxes and social benefits, fuyo kazoku can affect the amount of deductions or allowances a person is eligible for, as supporting dependents often qualifies for tax relief or other financial benefits.

住民税非課税 (juminzei hikazei) refers to the exemption from paying resident tax in Japan. Resident tax (住民税, juminzei) is a local tax levied by municipalities on residents. There are specific criteria that determine whether an individual qualifies for this exemption.

First, individuals with annual incomes below a certain threshold are exempt. The threshold varies depending on the municipality and the number of dependents.

扶養家族数 (fuyou kazoku suu) refers to the number of dependents a person has.

In Japan, this typically includes family members such as a spouse, children, and sometimes parents or other relatives who rely on the individual for financial support.

This number is important for tax purposes and social security benefits. For instance, the number of dependents can affect the amount of deductions an individual is eligible for, thus influencing their taxable income and overall tax liability.

When filling out tax forms or other official documents in Japan, you will often need to indicate the number of dependents to ensure accurate calculation of your financial obligations and benefits.

路線価 (rosenka) is a Japanese term referring to the standard land value used primarily for tax purposes. It is determined and published annually by the National Tax Agency.

Rosenka is used to calculate inheritance tax, gift tax, and property tax. It provides a standard reference for the value of land along major streets. The value is determined based on the price per square meter of land along a given street. This value is typically around 80% of the market value.

The National Tax Agency publishes rosenka values every year on July 1. These values are available for public viewing and can be accessed online. Rosenka helps ensure consistency and fairness in tax assessments. It is an essential tool for both tax authorities and landowners.

Understanding rosenka is crucial for anyone dealing with real estate, taxation, or inheritance matters in Japan.

住宅ローン減税 (jutaku ron genzei) refers to the "Mortgage Loan Tax Deduction" in Japan. This tax incentive is designed to promote home ownership by allowing individuals who have taken out a mortgage to purchase a residence to receive a deduction on their annual income tax. The deduction is typically a percentage of the remaining mortgage balance and can be claimed over a set number of years, often up to ten years. This reduction in taxable income helps to make home ownership more affordable by effectively lowering the overall cost of borrowing. To qualify for jutaku ron genzei, specific criteria must be met, including the use of the property as a primary residence and adherence to certain mortgage loan conditions.

法定調書 (hotei chosho) refers to "statutory reports" or "legal records" in Japan. These are official documents that businesses and certain individuals must prepare and submit to the tax authorities, detailing specific financial transactions and payments made during the fiscal year. The primary purpose of these reports is to ensure accurate and comprehensive reporting of taxable activities, facilitating tax compliance and transparency.

There are several types of statutory reports, each covering different kinds of transactions. For example, one common type is the 支払調書 (shiharai chosho), which reports payments made to contractors, freelancers, and other non-employee individuals. This report includes details such as the recipient's name, address, amount paid, and any taxes withheld. Another example is the 給与支払報告書 (kyūyo shiharai hokokusho), which details salary payments made to employees, including bonuses and other benefits.

Businesses are required to submit these reports to both the National Tax Agency (NTA) and, in some cases, to local tax offices. The information provided in these reports helps tax authorities cross-check the reported income of individuals and businesses, ensuring that all taxable income is properly declared and taxed.

Failure to submit these statutory reports accurately and on time can result in penalties and increased scrutiny from tax authorities. Therefore, businesses must maintain meticulous records of their financial transactions throughout the year and ensure that their statutory submissions are complete and correct. This system plays a crucial role in maintaining the integrity and efficiency of Japan's tax administration.