Two Types of Property Taxes in Japan

Property tax in Japan, a municipal tax, is classified into the following two categories depending on the type of assets and is levied differently based on the category:

• Fixed asset tax is property tax on ANY fixed assets, i.e., land, buildings and depreciable assets, and is assessed by the tax office.   
• Depreciable asset tax is property tax on depreciable assets (e.g., machinery, and furniture, fixtures and equipment, vessels and aircraft, and vehicles out of the scope for vehicle tax purposes) and is levied by the tax office based on depreciable asset returns filed by the taxpayer. 

It should be noted that technically, "fixed asset tax" includes "depreciable asset tax," but many misunderstand that "fixed asset tax" is ONLY on land or buildings, and "fixed asset tax" and "depreciable asset tax" are mutually exclusive. 

------------------------------------------
The author of this website is not responsible for any damage or loss arising related to this website.
会計税務についての他の記事にご興味ある方はこちらをご覧ください♬
会計税務英語に関する記事です。質問、コメントお待ちしております！Google アカウントを持ってない方は、「Google アカウント」をクリックし、「匿名」か「名前/URL」を選択してからご記入ください！