FOREIGN ASPECT OF JAPANESE TAXES

It is my aim in this paper to give light chiefly on how international investment into or out of Japan is subject to Japanese taxes. Four categories of taxes bear directly on such investment: income tax, corporation tax, inhabitant tax and enterprise tax. The first two taxes are national taxes, the third one falls under prefectural and municipal taxes, and the last one is prefectural tax They bring in very large tax revenues respectively to the there levels of Goverments. It is noteworthy that the for mer three categories of taxes have unilateral foreign tax credit system which is of importance to developing countries.