Leaving Japan taxes

Hi, I’m tax illiterate so I’d really appreciate confirmation on my understanding of what taxes I need to pay when I leave at the end of August.

From what I’ve gathered, I need to ask if my employer can pay the rest of my residence tax owed for 2023 in a lump sum (deducting it from my last salary if possible) and do a tax adjustment on my 2024 income tax given that I am leaving midway through the year. Since I’m leaving in August, from what I’ve read on other posts, I will not need to pay residence tax owed for 2024 since I will no longer be in Japan as of January 1st 2025, and so cannot be held liable for residence tax on that previous year. Is this all correct? Initially I was very concerned that I would need to pay a lump sum including both 2023 and 2024 residence tax…and pray that this is not the case as I did not financially plan for that.

While I think I finally understand the residence tax situation, I’m still not sure about the income tax- does it work like the residence tax where I’m paying based on the previous year. When I pay for the lump sum on residence tax will I be doing the same for income tax too? Or will I actually be getting a tax return on that amount since I’m leaving early so my annual income is lower than expected?

by Astrid_Victoria

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