Japanese Individual Income Tax Return – which exchange rate to be used


Today we are going to explain the exchange rate which should be used on calculating Japanese income tax.

If you made foreign currency transactions where Japanese income tax would be imposed, you must calculate the amount by converting foreign currency into Japanese yen.

The exchange rate to be used is as follows.


   the TTM rate on the transaction date


   In the calculation of real estate income, business income, forestry income or miscellaneous income, you can use the following rates on the transaction date (continuous application required).

    Sales, other income, asset – the TTB rate

    Purchases, other expenses and liabilities – the TTS rate

 〇Capital gain of stocks

   In the calculation of capital gains of stocks, you must use the following rates.

    Sales price : the TTB rate

    Acquisition costs : the TTS rate


The foreign currency transactions refer to transactions in which payments are made in foreign currencies.

If there is no exchange rate on the transaction date, the nearest preceding day rate can be used.


We provide also preparation service of Japanese individual income tax return.

Please do not hesitate to contact us any time, if you are interested in our services.