Japan Source Rules

Overview

This page collates posts and resources related to Japanese tax source rules.

For readers unfamiliar with international tax issues, source rules are critically important because they define the scope of the income of a foreign person that a country subjects tax tax. For example, Japan taxes the Japan source income of a foreign person through collecting withholding tax or by imposing an obligation on the foreign person to file a tax return in Japan.

Source rules originate in domestic tax law but may be modified by tax treaties that may also change the rate of tax applied to the income concerned.

Articles on Japan source income

The definition of Japan source interest income

The definition of Japan source interest income

11/01/2010 • Where a foreign company earns income with the economic nature of interest (referred to below as ‘Funding Income’) from lending...Read More

Japanese taxes payable by a non-resident individual

Japanese taxes payable by a non-resident individual

10/05/2010 • This article looks at the scope of Japanese taxation of non-resident individuals.  This topic is also likely to be of...Read More

Japanese taxes payable by a foreign company

Japanese taxes payable by a foreign company

09/23/2010 • Under Japanese tax law, Japanese companies are taxed on their worldwide income while foreign companies are taxed only on their...Read More

Japan source income - Basics - Articles 138 and 161

Japan source income – Basics – Articles 138 and 161

03/22/2010 • The source of income is a critical concept for international tax purposes given it will usually define the extent to...Read More