Hi all.
I arrived in Japan this year and was given some paid for tax advice as part of my relocation.
They are saying two things:
1. Credit card spending from the UK is taxable based on my Japan tax as it’s treated as foreign income.
2. Money remitted from UK eg wise transfer is taxable on my Japan tax.
I have made it clear this is my savings in the UK I’m remitting to Japan. They say it doesn’t matter.
Additional info
1. Many expats in Japan have told me this is not true.
2. I have written the question to the advisors multiple timrs and they keep saying it is due tax in the above situations.
3. Tax consultant is Vialto
I was inclined to believe the tax advisors over friends but I keep meeting person after person telling me vialto is wrong!
Please help me understand as I’d like to get my tax right.
Example: hypothetical case
1. I warned 10,000gbp in the UK in 2021
I came to Japan in 2023.
2. I transfer 10k via wise to my Japan bank account this year.
3. I buy a car in yen whilst working in Japan on a working visa.
Do I need to pay remittance tax on the above?
by Maximum-Warning-4186
1 comment
I’m sorry to say you wasted your money on this paid advice if you only had income from 2021. There’s no such thing as remittance tax. There is tax on foreign sourced income up to the amount that you remit under certain circumstances, but if you don’t have foreign earned income for the year, only savings, then remitting that is not taxed.