Foreign income under the threshold for tax in Japan.

Hi, I’m a sole trader/freelancer who has taken on article writing jobs for Japanese clients from April 2021 - December 2021. The work was done remotely from the UK but all the income earned went to my Japanese bank account and has not been transferred to the UK. The income I’ve earned for these jobs doesn’t meet the taxable threshold in Japan so I’ve not had to pay any Japanese tax. On my self-assessment form, how do I state this in the ‘foreign’ section? It doesn’t allow me to put down 0.00 for tax paid, and since I’m below the Japanese tax threshold, I assume the taxable amount is also 0.00, which I also can’t enter. I’ve already put down my total earnings in the self-employment section. How should I proceed to complete my form?

Hi Rina Sung, 

You will include the full amount earned in Japan within the self- employment page.

It is your choice not to transfer the funds, rather than the country not allowing you to move it.

The funds needs to be declared in the UK,as no tax was deducted abroad. 

You do not need to show it in the foreign page. 

Thank you.