I have read many posts here about tax payments being an American and earning income in Japan, but I believe my case is unique so I am posting. If anyone has experience with a similar situation, or can point me to other resources to read, it would be appreciated.
My Situation
I am living in Japan, with a Highly Skilled Professional Visa working for a Japanese company. My income in in Japanese yen being paid to my Japanese bank account. If this was all, I would apply for FEIE. However, my company has a US (shell) office as well and are trying to get a US work visa for one of their Japanese employees. To do this they need to have records of paying an American citizen from the US branch of the company (or so they told me). Because of this, they are asking me to work part time for the American branch. My residence and work will still be in Japan, but I will be paid from the American branch to my American bank account. My Japanese salary will not change, they will pay me additional salary for this part time work.
Residency confusion
This is my first year filing taxes in Japan so I do not have any prior experience. From my understanding, my company needs to withhold taxes for the Japanese government because I am a resident of Japan. When I apply for my FEIE I will provide proof of my residency in Japan. However, During the onboarding process process they are telling me to input my "home address in the US" for tax purposes. Since I told them I don't have a US address, they are going to put in the company's shell address. They use a third party company for taxes and payroll. I explained to them that they need to be withholding for Japanese taxes, but my company said since I am can claim FEIE it shouldn't be a problem.
My concern is that since I am putting in an American address as my work and home address:
- My taxes will be withheld for the American government and not be paid to the Japanese government. I will have to check with my company again, but they didn't seem to know when I asked before.
- My residency will be messed up when applying for FEIE.
- I am deceiving the US government by not having an accurate address.
Other (possibly) important point
- My previous residency is VA, and since I moved directly abroad, VA still considers me a VA resident for tax purposes.
by tyonnss