給与等の支払者が、年末調整により生じた過納額を給与等の受給者に還付する場合で、給与等の支払者に次に掲げる事由が生じたときに、その過納額について、給与等の受給者が給与等の支払者の所轄税務署から還付を受けるために行う手続
解散、休業等の事由により給与等の支払者でなくなったこと、又は徴収すべき税額がなくなったことにより、その過納額の全部又は一部を還付することができなくなった場合。
過納額を還付すべきこととなった日の属する月の翌月1日から起算して2月を経過してもなお還付すべき過納額が残っている場合。
（注） 過納額を還付すべきこととなった日の現況において、翌月1日から起算して2月を経過する日までの間に給与等の支払者において過納額の全額を還付することが困難であると認められるときは、当該2月を経過する日前においてもこの手続を行うことができます。
提出資料
上記「概要」欄の（1）又は（2）に掲げる事由が生じたため、所轄税務署から過納額の還付を受けようとする給与等の支払者
基本的に所得税過納者について現在までに充当又は還付ができない者の状況を記載する。過納額還付請求書における明細書と内訳書の内容は同様であり、これらに記載された者による委任状の作成が必要となるが、e-Taxソフトでは請求書の入力のみで全ての資料が完成するようになっている。
請求書（兼残存過納額明細書）
国税還付金支払内訳書
委任状
本人への直接還付する場合
各人別「請求書（兼残存過納額明細書）」（この場合、「国税還付金支払内訳書」及び「委任状」の作成は要しない。）
添付書類
（1）受給者各人の「源泉徴収簿」の写し
（2）過納額を翌年に繰り越して還付しているときは、翌年分の「源泉徴収簿」の写し
なお、この還付請求書に記載された事項その他還付の適否を判定するために必要な事項については、上記の添付書類とは別に税務署から説明資料を求められることがある。
Category: Tax
Tax in Japan: Fundamentals and Practical Q&As on Stock Options
Taxation of Listed Stocks
Tax Rate:
Net gains from stock sales are taxed at 20.315%.
Tax collection methods:
Through withholding at source, or annual tax return filing.
Securities Account Types:
- Domestic Securities Account: Tax is automatically withheld.
- Foreign Securities Account: Tax must be paid through annual tax return filing.
Special Considerations for Foreign-Issued Stock Options:
When stocks acquired through foreign-issued stock options are held in foreign securities accounts (common scenario), the capital losses cannot be offset against dividend income nor be carried forward to future tax years.
Note: Generally, use the closing rate on the transaction date (or previous day’s rate if unavailable) published by a major Japanese bank.
Tax in Japan: Fundamentals and Practical Q&As on Stock Options
Conversion of Foreign Currency Transactions
Salary Income:
Foreign currency amounts must be converted to Japanese yen using the applicable exchange rate at the time of transaction.
- Income from exercise of stock options or vesting of RSUs:
Use Telegraphic Transfer Middle Rate (TTM) on the date of exercise or vesting Capital losses cannot be combined with dividend income for Japanese tax purposes. - Capital losses cannot be carried forward for Japanese tax purposes.
Capital Gains:
- Income from stock sales:
Use Telegraphic Transfer Buying Rate (TTB) on the date of sale - Cost basis:
Use Telegraphic Transfer Selling Rate (TTS) on the date of exercise or vesting
Note: Generally, use the closing rate on the transaction date (or previous day’s rate if unavailable) published by a major Japanese bank.
Tax in Japan Fundamentals and Practical Q&As on Stock Options
Taxation of Stock Options in Japan: A Comprehensive Overview
In Japan, the taxation of stock options is addressed from three distinct angles: individual income tax, corporate income tax, and compliance with filing and reporting requirements.
Individual Income Tax:
The taxation of stock options hinges on the economic benefit they confer, with crucial considerations being the timing and amount of this benefit. Article 36 of the Japanese Income Tax Act specifies that the taxable income for each type of income, unless stated otherwise, includes the amount earned within that year. This includes non-monetary assets, rights, and other economic benefits, valued at their market equivalent at the time of acquisition.
As a result, nearly all forms of equity-based compensations, including stock options, are taxable. The valuation and timing of these taxes, however, may vary based on the specifics of the compensation.
Corporate Income Tax:
The focus here is on whether stock-based compensation can be deducted for corporate tax purposes. Typically, such compensation is deductible from a corporation’s taxable income if it is recognized as an expense for the individual receiving it for their personal income tax. Nevertheless, there are notable exceptions. For instance, compensations paid to directors are generally not deductible under Japanese tax law, with further nuances depending on whether the compensation is issued by a domestic or foreign entity.
Filing and Reporting Requirements:
Beyond personal tax responsibilities, the Japanese tax system mandates various filing and reporting obligations. Domestic companies must report both the issuance and the exercise of stock options. Likewise, Japanese securities firms are required to report the exercise of listed stock options. Foreign entities must also fulfill reporting obligations in Japan when they issue equity-based compensations to employees within the country.
This blog aims to demystify these intricate tax considerations for professionals navigating the complexities of stock options in Japan, providing a clearer understanding for both tax experts and their clients.