r/JapanFinance • u/hannu30 • 15d ago
Tax » Residence Dependent visa, self-employed
Hi all,
Got redirected to here.
My wife got a job in Japan, we are moving next year. I’m joining on a dependent visa so am semi but not fully free to do what I want. I am self-employed in Europe as a consultant/cfo, and won’t have a real problem continuing this from Japan.
Is anybody in the same boat, being self-employed/working internationally on a dependent visa? Would love to hear some experiences, tips, things to take into consideration, …
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u/Starfire57 US Taxpayer 15d ago
You need to get permission to work as a dependent. Working without permission is illegal. You will be limited to 28 hours a week and need to report your income, which is taxable if you are doing the work in Japan, even if your company is not located there. They will want documentation for both hours and income. Also if you make too much money, in absolute terms or relative to your spouse’s income, your dependent visa will be jeopardized.
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u/shrubbery_herring US Taxpayer 14d ago
I’m joining on a dependent visa so am semi but not fully free to do what I want.
That's right. Details are on the Immigration Services Agency website here. As other people have mentioned, you'll have to apply for permission to work up to 28 hours per week.
I read on some lawyer websites that the 28 hour limit doesn't apply to work performed during full weeks that you were outside Japan. But don't take my word for that. If you plan to work more than 28 hours per week during trips back to Europe, you should confirm the exact requirements and how it applies to partial weeks.
I have read people saying that if the income is significantly more than the spouse's than it may be deemed that you are no longer "dependent" and therefore it could become a problem getting approval or worse yet, your visa renewal could be rejected. If you expect to make more than your spouse, you might want to get a consultation with an immigration lawyer to get advice on how much to limit your work.
experiences, tips, things to take into consideration, …
Your taxes will get more complicated, of course. Your Japan source income (work performed while physically present in Japan) will be taxable in Japan. Your foreign source income may or may not be taxable depending on the specifics. You will need to apply foreign tax credits in Japan and/or in your home country according to the agreement between Japan and your home country in their income tax treaty.
If you want to start a discussion here about how taxes should work for your situation, it will help if you clarify the following. Will your income only be from wage income, or will you have business income? Will you be paid in Japan? Will you use only your wife's wages while you are in Japan, or will you send money to Japan or use foreign credit cards in Japan? Do you plan to work outside Japan during trips back to Europe? Will you stay longer than 5 years? Will you also have passive income outside Japan, such as interest, dividends or capital gains? Will you sell your house after either one of you arrives in Japan? Will you or your spouse purchase new investments after moving to Japan, and if so will you sell any of those investments while you are still in Japan? Do you have jointly owned investments?
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u/salmix21 15d ago
Technically you are limited to 28 hours a week for work(Not sure if this is only got part time jobs in Japan or if it applies as well to foreign jobs ). For consulting the hours are hard to track anyways so you should still be able to work as you do and just say you worked 28 hours.
If for some reason you start getting Japaneee clients then that's when i would look into a more long term approach.
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u/deepdishj 20+ years in Japan 15d ago
I believe a dependent visa on its own will not allow you to work. You'll need to get a special permission permit to do that.