Taxes
Most of the work of the national and local governments concerns various aspects of our daily lives.
The national government is responsible for various national concerns, such as diplomatic affairs, basic social planning, and financial administrative measures.
Local governments, on the other hand, focus more on programs for the local community, such as welfare, education, health/sanitation, police stations, and fire stations.
All of us share the responsibility for the costs of these programs through taxes. In a sense, taxes are like membership fees for a safe and enhanced way of life.
Resident’s Tax (Special City Resident Tax and Metropolitan Resident Tax) and Income Tax
There are various types of taxes. Those that are most familiar to us are resident’s tax and income tax.
Resident’s tax (local tax) and income tax (national tax) are both levied on an individual’s income, and both taxes have many points in common, such as reporting the amount of income. On the other hand, income tax is levied on income earned during the current year, while resident’s tax is levied on income earned during the previous year. In addition, the tax ratios may vary.
For more information about resident’s tax, click here.
For information about income tax, visit the National Tax Agency website.