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Re: Principal investment/gains separated when selling?
Posted: Sat Feb 01, 2025 2:00 pm
by adamu
ChapInTokyo wrote: ↑Sat Feb 01, 2025 1:50 pm
There is no way to sell your funds in a "tax efficient" way, except for buying the funds in a tax advantaged account such as a NISA or an iDeco.
I'm not sure of the exact numbers but if your total taxable income (after deductions) for the year is less than ¥3.3M, I believe you can do a tax return to tax the gains using aggregate instead of separate taxation for a lower tax rate. I'm not sure what happens to residence tax in that case, though.
Re: Principal investment/gains separated when selling?
Posted: Sat Feb 01, 2025 2:36 pm
by ChapInTokyo
adamu wrote: ↑Sat Feb 01, 2025 2:00 pm
ChapInTokyo wrote: ↑Sat Feb 01, 2025 1:50 pm
There is no way to sell your funds in a "tax efficient" way, except for buying the funds in a tax advantaged account such as a NISA or an iDeco.
I'm not sure of the exact numbers but if your total taxable income (after deductions) for the year is less than ¥3.3M, I believe you can do a tax return to tax the gains using aggregate instead of separate taxation for a lower tax rate. I'm not sure what happens to residence tax in that case, though.
Ah yes. That is true. If your total taxable income (after deductions) for the year is under 1.95 M yen, you can do the tax return with the aggregate method at a 5% income tax rate, and if under 3.3M yen, at a 10% tax rate.