Japanese Business Glossary

住宅ローン減税 (jutaku ron genzei) refers to the "Mortgage Loan Tax Deduction" in Japan. This tax incentive is designed to promote home ownership by allowing individuals who have taken out a mortgage to purchase a residence to receive a deduction on their annual income tax. The deduction is typically a percentage of the remaining mortgage balance and can be claimed over a set number of years, often up to ten years. This reduction in taxable income helps to make home ownership more affordable by effectively lowering the overall cost of borrowing. To qualify for jutaku ron genzei, specific criteria must be met, including the use of the property as a primary residence and adherence to certain mortgage loan conditions.

構築物 (kochikubutsu) refers to structures or constructions in Japan. This term encompasses a wide range of man-made installations and built environments, including buildings, bridges, roads, tunnels, dams, and other infrastructure projects. Kochikubutsu is used in various contexts such as construction, real estate, civil engineering, and urban planning.

In the context of property and legal regulations, kochikubutsu includes both permanent and temporary structures that are constructed for residential, commercial, industrial, or public use. These structures are subject to building codes, safety standards, and zoning laws to ensure they meet the required specifications and are safe for use.

For accounting and tax purposes, kochikubutsu can be classified as fixed assets. Businesses and individuals must record the value of these assets in their financial statements and may be able to depreciate them over their useful lives, depending on tax laws.

Proper documentation, compliance with regulations, and maintenance of structures are crucial for ensuring their safety, functionality, and longevity. This ensures that the structures serve their intended purposes effectively and contribute to the overall infrastructure and development of the area.

法定調書 (hotei chosho) refers to "statutory reports" or "legal records" in Japan. These are official documents that businesses and certain individuals must prepare and submit to the tax authorities, detailing specific financial transactions and payments made during the fiscal year. The primary purpose of these reports is to ensure accurate and comprehensive reporting of taxable activities, facilitating tax compliance and transparency.

There are several types of statutory reports, each covering different kinds of transactions. For example, one common type is the 支払調書 (shiharai chosho), which reports payments made to contractors, freelancers, and other non-employee individuals. This report includes details such as the recipient's name, address, amount paid, and any taxes withheld. Another example is the 給与支払報告書 (kyūyo shiharai hokokusho), which details salary payments made to employees, including bonuses and other benefits.

Businesses are required to submit these reports to both the National Tax Agency (NTA) and, in some cases, to local tax offices. The information provided in these reports helps tax authorities cross-check the reported income of individuals and businesses, ensuring that all taxable income is properly declared and taxed.

Failure to submit these statutory reports accurately and on time can result in penalties and increased scrutiny from tax authorities. Therefore, businesses must maintain meticulous records of their financial transactions throughout the year and ensure that their statutory submissions are complete and correct. This system plays a crucial role in maintaining the integrity and efficiency of Japan's tax administration.

贈与税 (zoyozei) is Japanese for "gift tax." This is a tax imposed on the transfer of property or money from one person to another as a gift.

In Japan, when someone gives a gift exceeding a certain value, the recipient is generally required to pay a tax on the value of the gift. The purpose of this tax is to prevent individuals from avoiding inheritance tax by transferring assets as gifts during their lifetime.

The tax rate and exemptions can vary based on the amount and relationship between the giver and recipient.

収入印紙 (shūnyū inshi) refers to revenue stamps in Japan. These stamps are used to pay certain government fees and taxes, particularly for transactions that involve legal documents. When you need to submit certain types of documents, such as contracts or receipts, you often have to affix these stamps to ensure that the necessary taxes are paid.

Revenue stamps can be purchased at post offices, convenience stores, and some government offices. The cost of the stamps varies depending on the amount required for the specific transaction.

Using revenue stamps correctly is important to comply with Japanese tax regulations. If you're unsure about the amount or the necessity of using these stamps for your documents, it's advisable to consult with a local expert or check with the relevant government office.

印紙税額 (inshi zeigaku) refers to the amount of stamp duty in Japanese. Stamp duty is a tax applied on documents that are legally significant, such as contracts, agreements, and other official papers. The exact amount of the tax can vary depending on the type and value of the document. In Japan, this stamp duty is necessary for the document to be considered valid in certain legal contexts.