Does anybody know how foreign PRIVATE pension plans are taxed in Japan, where I will be a resident?
I have contributed some after-tax money to such a plan, which invests in various stock, real-estate, etc. funds.
Over the years my investment has approximately doubled in value.
I can convert my investment and its earnings (about 50-50) to an annuity or withdraw it in chunks.
The other country will tax the earnings as income.
Then Japan will tax too. Bilateral double-tax treaties should offer a bit of protection, though on which side I don't know.
Since I have no idea what schemes are used in Japan to calculate taxes on such money, I also have no idea what the best option is, besides to move out of Japan.
Any advice besides "speak to a professional" (eventually I will!) would be greatly appreciated.
Private pension plans
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Re: Private pension plans
It will depend on what the pension is classed as and the specific tax treaty (if any) between Japan and your home country.needhelp wrote: ↑Mon Jun 10, 2024 5:34 am Does anybody know how foreign PRIVATE pension plans are taxed in Japan, where I will be a resident?
I have contributed some after-tax money to such a plan, which invests in various stock, real-estate, etc. funds.
Over the years my investment has approximately doubled in value.
I can convert my investment and its earnings (about 50-50) to an annuity or withdraw it in chunks.
The other country will tax the earnings as income.
Then Japan will tax too. Bilateral double-tax treaties should offer a bit of protection, though on which side I don't know.
Since I have no idea what schemes are used in Japan to calculate taxes on such money, I also have no idea what the best option is, besides to move out of Japan.
Any advice besides "speak to a professional" (eventually I will!) would be greatly appreciated.
The best way to simplify things would be to cash it in before moving to Japan, then you only have to worry about taxes in the original country.
English teacher and writer. RetireJapan founder. Avid reader.
eMaxis Slim Shady
eMaxis Slim Shady
Re: Private pension plans
Thanks, but how can one find out what it is classed as?