Overview
In Japan, foreign companies and non-resident individuals that have Japanese tax filing or payment obligations are generally required to appoint a Tax Agent (Tax Administrator).
The Tax Agent serves as the official contact point between the taxpayer and the Japanese tax authorities and manages tax-related administrative procedures within Japan.
MOCHIZUKI & Associates provides Tax Agent services as part of its international tax practice, supporting foreign clients with Japanese tax compliance in a practical, legally compliant, and business-oriented manner.
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What Is a Tax Agent in Japan?
A Tax Agent (Tax Administrator) is a person or legal entity located in Japan who is appointed to handle tax-related administrative matters on behalf of a taxpayer that does not have a residence or place of business in Japan. The role of a Tax Agent is strictly administrative in nature. It does not include tax advisory services or tax decision-making authority unless those services are separately engaged and performed by a licensed Japanese tax professional.
As a Tax Agent, we act as the taxpayer’s administrative interface with the Japanese tax authorities. Our role typically includes receiving official correspondence such as tax notices and assessment letters, submitting statutory filings prepared by the taxpayer or their tax advisor, arranging the payment of national and local taxes, and receiving tax refunds through a designated Japanese bank account. These services ensure that procedural requirements are satisfied and that communication with the tax authorities is handled smoothly and efficiently.
Important Legal Distinction: Tax Agent vs. Tax Representation
Japanese tax law draws a clear distinction between Tax Agent services and tax representation, the latter being an exclusive service reserved for licensed Japanese Certified Public Tax Accountants.
A Tax Agent handles procedural and administrative matters only. In contrast, tax representation involves preparing tax returns, representing taxpayers before tax authorities in audits or appeals, and providing substantive tax advice, including tax calculations and planning.
Importantly, these representation services may not be performed by unlicensed persons, even if no fee is charged. This principle—often referred to as exclusive practice regardless of remuneration—is intended to protect taxpayers and ensure the integrity of Japan’s self-assessment tax system.
Responsibilities and Limitations of a Tax Agent
A Tax Agent does not assume the taxpayer’s tax liabilities. All tax obligations, penalties, and enforcement actions remain the sole responsibility of the taxpayer. If taxes remain unpaid, enforcement measures are taken against the taxpayer, not the Tax Agent. The Tax Agent bears no joint or secondary liability for the taxpayer’s obligations.
At the same time, preparing tax returns, responding to tax audits, or providing tax advice without proper licensing may constitute a violation of Japanese tax law. For this reason, careful separation of roles is essential in cross-border tax arrangements.
When Is a Tax Agent Required?
A Tax Agent is typically required when a foreign company conducts taxable transactions in Japan without a permanent establishment, or when a non-resident individual earns Japanese-source income.
Appointment is also required when a taxpayer relocates overseas but continues to have Japanese tax obligations, or when Japanese inheritance or gift tax matters arise involving heirs who reside outside Japan.
In cross-border situations, early appointment of a Tax Agent is strongly recommended to avoid procedural delays and unintended non-compliance.
Our Tax Agent Services
Foreign corporations
We provide Tax Agent services in connection with Japanese Consumption Tax (VAT), including B2C transactions and input tax refunds, as well as corporate tax compliance related to Japanese-source income. We also manage ongoing correspondence with Japanese tax authorities and coordinate with overseas tax advisors and internal finance teams, enabling our clients to meet Japanese compliance requirements without establishing a local office.
Foreign individuals / Non residents
Our Tax Agent services support the administration of Japanese-source income, departure-related tax filings, and inheritance or gift tax procedures.
We act as a reliable point of contact with Japanese tax authorities, ensuring that procedural obligations are fulfilled while substantive tax matters are handled by licensed professionals as required.
Real Estate Ownership in Japan
When holding real estate in Japan, integrated tax management will be conducted, including corporate tax, income tax, consumption tax, as well as property tax and city planning tax.
Our Approach as International Tax Specialists
Appointing a Tax Agent is not merely a formal requirement; it is a critical element of cross-border tax risk management.
At MOCHIZUKI & Associates, we clearly distinguish between Tax Agent services and licensed tax representation while offering both within an integrated international tax framework. This approach provides foreign clients with clarity, compliance, and confidence in managing their Japanese tax obligations.
Should you need any assistance from us, please feel free to contact us.