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Tax & Deductions·Support CodePAY-009

Resident Tax Special Collection

How companies withhold resident tax from salaries monthly, plus the June rate-change process.

Under special collection (tokubetsu chōshū), companies deduct resident tax from monthly pay and remit it to the municipality by the 10th of the following month.

【June rate switch】

Municipalities send new tax amount notices each year around late May/early June.

Starting in June, the new amounts apply to payroll.

WorkVell: enter the new amounts from the notice and they automatically apply to all June-onward payroll calculations.

【Mid-year hires & departures】

· New hire mid-year: if previous employer was withholding, you may need to take over

· Termination: either withhold the remaining balance from the final paycheck or switch the employee to self-payment (futsū chōshū)

Example

Receive notice in June → enter amounts in WorkVell → June payroll auto-uses new rates

resident taxspecial collectionwithholdingJune switchmunicipal tax

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