Anyone familiar with income tax (所得税) rules?

About to leave Japan and my office is telling me that my final paycheck is going to be taxed at the flat non-resident rate (~20%) instead of the previous rate because I’ll be outside the country when I receive the payment. Is this actually thing? I did the work as a resident during my final month here. Can they apply the higher rate simply because I’m receiving the remuneration after my residency expires? Any info would be much appreciated as I can’t find anything online.

2 comments
  1. Yes. They are correct. If it’s any consolation they should not be withholding income tax, pension, health insurance and employment insurance at least.

    (For some high income earners the flat 20.42% is actually a good thing. For low income earners…. A bad thing)

Leave a Reply
You May Also Like