SORABYCO | Life in Japan

When I first started reading about taxes in Japan, I was not planning to launch a serious side business. I simply wanted to know what would happen if my blog, YouTube channel, or affiliate links eventually earned money. During my research, however, I kept seeing the same warning: “Your company will find out through resident tax.” That made me wonder whether filing a tax return automatically reveals everything to an employer. After looking more closely at how Japanese resident tax works, I learned that the answer is not quite that simple. Does Your Employer Automatically Know About a Side Job? Having additional income does not automatically mean that your employer will know exactly what you are doing. The more important question is whether your company permits outside work. Some employers allow side businesses, while others require advance permission or restrict them under their employment rules. Before starting freelance work, blogging, online sales, or another paid activity, it is wor...

Ever since I paid my withholding tax, taxes have been on my mind more than usual. I joked to myself that life would be much easier if paying one tax bill meant I was finished for the year. Unfortunately, taxes rarely work that way. When I started blogging, taxes were the last thing on my mind. I was more focused on writing articles, learning how YouTube worked, experimenting with social media, and trying affiliate programs. As I started earning small amounts from different online activities, I naturally began wondering how taxes would work. One question kept coming back to me: “Do I need to file a tax return if I earn side hustle income in Japan?” Every answer seemed to lead to another question. Does the same rule apply to employees and self-employed people? Do blogging expenses count? What happens if the income is only a small amount? The answer depends on your employment status, the type and amount of income you receive, and your overall tax situation. This article provides general i...