In mid-March 2024, Japanese media reported that the government is planning to introduce a new residency scheme to attract foreign angel investors who invest in startups and other companies. The central government has invited proposals from local governments regarding specific details and is expected to officially announce the scheme in mid-2024. The new scheme is expected to be implemented in several of Japan’s 13 National Strategic Special Zones. Once the zones are selected, policymakers will take action to strengthen the staff and systems in these zones. To prevent fraudulent activities, the municipalities where the chosen zones are located will be responsible for certifying the individuals whose applications for the residency scheme are accepted and overseeing their activities.
A Tax Alert prepared by EY's People Advisory Services group, and attached below, provides additional details
