[Summary]

Since the new NISA is a tax-free system, it is basically a system that makes it difficult to pay attention to tax returns regarding sales profits, dividends, and distributions in your NISA account. However, there is a misunderstanding here.

There is a difference between the fact that the operating profits of the new NISA account are tax-free and the fact that all tax procedures related to investment are not required. Taxable accounts, foreign tax credits, profit and loss totals, dividend receipt methods, etc. need to be confirmed separately.

In this article, we will organize the points that beginners should check first in the order in which they are most likely to stumble in practice. Since taxes vary depending on individual circumstances, please confirm the final decision with an official or specialized contact such as the National Tax Agency, local government, tax office, or tax accountant.

First, the conclusion

There is a difference between the fact that the operating profits of the new NISA account are tax-free and the fact that all tax procedures related to investment are not required. Taxable accounts, foreign tax credits, profit and loss totals, dividend receipt methods, etc. need to be confirmed separately.

Check pointsway of seeing
Gain on sale of NISA accountSystematically, it is subject to tax exemption.
NISA account lossIt cannot be used for profit and loss aggregation or carryover deductions.
Profit of specific accountIn principle, if there is withholding tax, it will be handled by the securities company.
General accountIt is likely that you will need to calculate profit and loss and check your tax returns yourself.

The important thing when reading tax articles is not just memorizing the system name. It's about looking at your income, accounts, deductions, and reporting methods separately.

common misconceptions

  • With NISA, I think you can use your losses for tax savings.
  • Even the profits of taxable accounts are treated the same as NISA.
  • Do not confirm the method of receiving dividends.

This is an area where it is easy to get confused just by reading the search article. In particular, "sales" and "income," "income tax" and "resident tax," and "NISA" and "taxable account" need to be treated as different things.

Order of actual checking

If you are confused, it will be easier to organize if you check them in the following order.

  • Have you looked at NISA accounts and specified accounts separately?
  • Did you understand that even if you incur a loss with NISA, it cannot be converted into profit or loss?
  • Have you confirmed the method for receiving individual stock dividends?
  • Have you separately checked the dividend taxation system for foreign stocks?

If it is still difficult to make a decision after looking at the above, it is safer not to leave it to your own judgment. Please check through official channels such as consultation with the tax office, the National Tax Agency's tax return preparation corner, and consultation with a tax accountant.

Summary

Although the new NISA is a strong tax system, it does not eliminate all investment taxation. It is safe to look at NISA, specific accounts, and general accounts separately.

While it's hard to get away with not knowing about taxes, there's no need to fear them too much if you sort them out early. When your income increases, when you start investing, or when you want to use deductions, it is most practical to prepare your records early rather than at the end of the year.

Source/reference materials

This article is for educational and informational purposes only, based on public information. It is not a recommendation or solicitation to buy or sell any specific security or financial product. Although care is taken with accuracy, the content and future investment outcomes are not guaranteed. Final investment decisions should be made at your own judgment and responsibility.