TL;DR Link to heading
🕒 As of December 2025
💡 If there is any ambiguity, the Japanese version takes precedence.
| Item | Description |
|---|---|
| Purpose | Calculate the tax you actually owe vs. the tax you already paid (refund or additional payment). |
| Filing period | Around early November |
| Submit to | Your employer |
| Documents | Application forms + supporting documents |
| Types of deductions | Dependent, basic, spouse, insurance, housing loan (from 2nd year onward), etc. |
What is “Year-end Adjustment” (年末調整)? Link to heading
Year-end adjustment is a settlement process to match the total amount of tax withheld during the year with your actual annual tax liability.
Example:
If ¥500,000 was withheld and your actual tax is ¥400,000, you will receive a ¥100,000 refund.
Who is eligible? Link to heading
Employees who:
- Have submitted the “Dependent Deduction Declaration” to their employer, and
- Have annual employment income of ¥20 million or less.
If not eligible, you must file a tax return (確定申告).
Insurance You Do NOT Need to Declare Link to heading
- Health insurance
- Employee pension (厚生年金)
- Employment insurance
Forms & Deductions (Submit by early November) Link to heading
Supporting documents are required. Electronic submission may be available.
Required Link to heading
- Dependent Deduction Declaration
- Basic Deduction Declaration
Optional (if applicable) Link to heading
- Spouse Deduction / Special Spouse Deduction
- Income Adjustment Deduction
- Insurance Deduction
- Housing Loan Deduction
Dependent Deduction Declaration Link to heading
Must be submitted even if you have no dependents or spouse.
Failure to submit results in a higher withholding tax rate.
Basic Deduction Link to heading
If total income is ¥25 million or less, up to ¥950,000 may be deducted depending on income level.
Spouse Deduction Link to heading
- Spouse income ≤ ¥580,000 → Spouse deduction
- Spouse income ¥580,001–¥1,330,000 → Special spouse deduction
(Employee income must be ≤ ¥10 million)
Income Adjustment Deduction Link to heading
Applies if salary exceeds ¥8.5 million and one of the following applies:
- Dependent under 23
- Employee is severely disabled
- Dependent or spouse is severely disabled
Maximum deduction: ¥150,000
Insurance Deductions Link to heading
- Social insurance & iDeCo: fully deductible
- Life insurance: varies by contract type
- Earthquake insurance: up to ¥50,000
Housing Loan Deduction Link to heading
A fixed amount can be directly deducted from tax based on the remaining loan balance.
First year requires filing a tax return (確定申告).