Claiming Kokumin Nenkin and Kousei Nenkin overseas

[JimmyK]

Hi there
I’m new to the forum. Thanks for having me! Can anyone shed any light on rules regarding claiming Japan pension from overseas? Couldn’t find any previous blogs on this topic (apologies if I’ve missed any), nor on the national pension website. I’m living and working in Japan now, but may retire to Europe and I heard a rumour that you can’t claim your full entitlement if retired outside Japan.

[adamu]

I've not read them, but there is official info in Japanese here:

https://www.nenkin.go.jp/service/jukyu/ ... aigai.html

[JimmyK]

As far as I recall, this site explains the procedure for claiming a pension overseas, but I don’t think it mentions whether or not it’s a reduced amount. Worry double checking though. Thanks.

[RetireJapan]

I've never heard that nenkin paid overseas is reduced, for what it's worth. Can be paid into any bank account apparently.

There may be mandatory Japanese taxes or kaigo hoken deducted at source, which would reduce the gross amount I guess, but that would be the same in Japan.

Anyone else?

[ClearAsMud]

The link provided by adamu is the main portal, but the linked page also leads to another page with the basic information you need:

https://www.nenkin.go.jp/service/jukyu/ ... 50129.html

The major points:

• First of all, because an international bank transfer is involved, a particular form must be submitted (the link is on the portal page; basically, you have to provide a SWIFT code). It is possible to have the pension deposited into a Japanese bank account if you are eligible to have one (with the exception of Yucho Bank).
• If your country of residence has entered into a tax treaty with Japan, you must also submit two originals of an “Application Form for Income tax Convention” declaring tax residency. This will exempt you from the usual tax withholding for nonresidents. Residents of the United States have an additional form to fill out. Withholding will take place if no tax treaty is in effect, and the withholding exemption does not apply even in some countries that do have tax treaties with Japan (e.g., Canada, Thailand, Sweden). Only residents of Japan are covered by kaigo hoken.
• You must fill out and return an annual statement confirming your continued eligibility. Time limits for certification exist (somewhat more troublesome for Japanese citizens resident overseas).
• You will receive an annual statement of pension payments that can be used for your domestic tax purposes.

These conditions are separate from the initial application itself, so be sure to check into that process as well.

[JimmyK]

Many thanks for these responses. If I find out anything definitive, I’ll post the info here.

[Tkydon]

Under most Tax Treaties, Pensions are only taxable in the country of residence

The form for claiming exemption from Withholding Tax is located here:

https://www.nta.go.jp/english/taxes/wit ... ention.htm

Form 9
APPLICATION FORM FOR INCOME TAX CONVENTION (Form 9) (PDF/207KB)
(Relief from Japanese Income Tax and Special Income Tax for Reconstruction on Pensions, Annuities, etc.)

https://www.nta.go.jp/taxes/tetsuzuki/s ... f2/258.pdf