Prefectural Enterprise Tax Rates

Hi,

What is the enterprise tax? Is it taxed calculated based on the profit of the business (after all salaries have been paid)?

I'm setting up a business in Japan as a sole proprietor. There will be 2 employees, me and my partner. After we are paid the salary which will incur the usual income taxes, there will not be any profit left from the business itself. I don't know if in this case, the enterprise tax is still applicable.

Thanks

if you are a self-employer, you can't get your salary.
you employ one person, who gets a salary from you. the rest of the profit is all your income. you are requested to report your annual income to national tax office.
I think you should hire an accountant to do that.
when you pay a salary to that person, you are requested to withdraw income tax from his/her salary, and to pay that tax to the government. if you did not do that, the government will charge you the penalty tax.

Thank Ken for the information. I will talk to accountant.