Under Japanese tax law, Japanese companies are taxed on their worldwide income while foreign companies are taxed only on their Japanese source income.
This article explains when a foreign company will suffer Japanese withholding tax or when it has an obligation to file a Japanese corporate tax return. Read More
The source of income is a critical concept for international tax purposes given it will usually define the extent to which a particular country taxes the income of foreign persons. A foreign company which has Japanese source income as defined under Japan’s domestic law may be subject to Japanese tax Read More