An arrival or departure year requires additional tax review because your residence and work location may change during the year. Key considerations include U.S. tax residency, reportable income, state taxes, and foreign financial account and asset reporting.
1. U.S. Presence and Tax Residency
Review your arrival and departure dates, including U.S. business trips and personal visits. The substantial presence test generally considers weighted days from the current year and the two preceding years. Spending fewer than 183 days in the United States during the current year does not necessarily mean you are a nonresident.
Your visa category and green card status also matter. Tax residency does not necessarily match immigration status.
Reference: IRS — Resident and Nonresident Aliens
2. Residency Period and Filing Approach
You may have a dual-status tax year, with resident and nonresident periods. Available elections, your spouse’s circumstances, and treaty provisions should be reviewed.
Leaving the United States does not automatically end tax residency on your departure date. Requirements and supporting statements for an earlier residency termination date must be considered.
Reference: IRS — Residency Starting and Ending Dates
3. Income and Payroll Records
Review compensation paid in Japan and the United States, including bonuses, allowances, and employer-paid taxes, alongside investment and rental income.
Resident periods generally involve worldwide income; nonresident periods generally involve U.S.-source income and certain other taxable income. For compensation, work location and the period covered also matter. Bonuses paid after departure may remain reportable in the United States.
Reference: IRS — Publication 519
4. State and Local Returns
Review filing obligations in each state or city where you lived or worked. Part-year resident or nonresident returns may be necessary.
State residency determinations may differ from federal determinations. New York, for example, has a separate return for nonresidents and part-year residents.
Reference: New York State — Nonresident and Part-Year Resident Return Instructions
5. Foreign Financial Accounts and Assets
Review whether Japanese bank or investment accounts require FBAR or Form 8938 reporting. These are separate requirements with different rules and thresholds. Filing one does not replace the other.
Reference: IRS — Comparison of Form 8938 and FBAR Requirements
Information to Gather Before Contacting Us
- Arrival and departure dates and U.S. travel history for the current year and two preceding years
- Visa category and green card status
- Residence and work locations in Japan and the United States, with relevant dates
- An overview of your income and your spouse’s income
- The employer’s compensation and tax-payment policies
- Prior filing history and any deadlines specified by your employer or tax authorities
We support arrival- and departure-year individual tax matters and coordination with payroll and gross-up calculations. Please provide only an overview in your initial inquiry. We will explain separately how to share confidential documents.
This answer provides general information. Filing requirements and available elections depend on individual circumstances.
Information reviewed: October 14, 2026
