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According to individual income tax laws in Japan, we have 10 types of income as below;

 

  1. Business income

Income derived from independent enterprises of commerce, industry, independent personal services, etc.

 

  1. Real estate income

Income derived from the leasing of land, building, etc.

 

  1. Interest income

Income derived from interests on bonds, debentures, savings, etc.

 

  1. Dividend income

Income derived from surplus of corporation from securities investment

 

  1. Employment income

Income derived from salaries, wages, bonuses, allowance, etc.

 

  1. Miscellaneous income

Public pensions

Income derived from National Pension, Employee Pension, mutual aid pensions for public servants, etc.

Others

Other income including fees for manuscripts, lectures, annuities from life insurance policies, etc. which don’t fall into other types of income

 

  1. Capital gains

Income derived from the sales of land, building, land-leasing rights, stocks and shares, etc.

 

  1. Occasional income

Income derived from lump-sum payments from life insurance policies, prize money, lottery winnings, etc.

 

  1. Timber income

Income derived from the sales of harvested forestry resources which have been owned for a period exceeding five years and other activities.

 

  1. Retirement income

Income derived from retirement income, lump-sum pensions, one-time payment of aged pensions, etc. as defined by the Defined Benefits Corporate Pension Law and the Defined-Contribution Pension Law