It is said that more than 30% of investors who manage apartments are office workers in their 30s to 50s.In the past, it was often run by people with a position in the company or by businessmen with their surplus funds.You can start with a down payment of 200 to 300 million yen, and you can use a real estate investment loan when purchasing an apartment, so the down payment is small.Now that interest rates are low, it's easier to get a loan, and it's easier for ordinary office workers to invest in buying a whole building.
The number of cases where office workers invest in real estate as a side business is increasing, but if you have a side business and a main business, you may be worried about whether the company will find out about your side business.Although it is not well known, there is a risk countermeasure that makes it difficult for the company to know about the side business by taking measures in advance.
This time, I will explain the risk measures for office workers who invest in real estate as a side business.
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When a company finds out about real estate investment
Basically, I tend to think that my colleagues and bosses won't find out if I don't tell them.However, if the income from real estate investment increases, the resident tax and income tax will increase in the following year, so there is a possibility that the company will suspect that it is a side business.The company is doing a year-end tax adjustment, and the overpaid taxes are being adjusted.The person who usually manages taxes may know the amount of tax for each employee, so if the resident tax and income tax are higher than those of people with the same salary, it is natural to have some kind of side job. You may be suspected of being there.
What you want to be careful about is if you have an annual income of 20 yen or more from real estate investment.Income is the amount after deduction of expenses, etc., and this amount is taxed.For salaried workers, if the amount exceeds 20 yen, a final tax return is required every year.However, please note that even if your income is less than 20 yen, you still need to declare it for the resident tax notice.
Related article:Tax and calculation method on rental income earned from real estate investment
Resident tax changed from special collection to ordinary collection
In order to keep your company from knowing about your side business, don't forget to check the "Pay by yourself" column when you file your income tax return.In most cases, it is the amount of resident tax that is likely to be known about a side job.Inhabitant tax on income earned from the company can be paid through the company, and inhabitant tax on income earned from real estate investment can be paid separately.
If you do not check the box when you file your final tax return, both of your inhabitant tax payments will be made through your company, increasing the chances that it will be known.In order to prevent this risk, you must check the "pay by yourself" box and be sure to have the residence tax payment slip for the income from real estate investment delivered to your home.The point is to change from special collection, which is deducted from your company salary, to ordinary collection, and if you select "ordinary collection", you will be able to pay yourself, so the risk will be reduced.
When there is a large deficit, there is a high risk that the side job will be exposed
In the early stages of real estate investment, a large amount of expenses such as registration fees, real estate acquisition tax, and depreciation expenses will be incurred, so the book will be in the red.It will be refunded when you file a final tax return, but the resident tax will be reduced as a result of the income reduction. If you buy a large property that exceeds XNUMX million yen, the amount will be large, so the inhabitant tax will be extremely low and the possibility of being found out will be high.
As a countermeasure, if you file a tax return after the normal March 3th, the income will be the income before filing the tax return for one year, so the risk of being found out will decrease.However, it would be better if you can explain it to the company because you will be paying where the resident tax is originally reduced.
Related article:Tax saving is one of the attractions of real estate investment.Explain income tax, inhabitant tax, inheritance tax, etc. that can save tax!
Real estate investment is not a side business
Many companies forbid side jobs.Strictly speaking, real estate investment does not fall under the category of a side business, but it is true that some people do not like it.Originally, the income obtained from real estate investment is not a salary but a rent, so it is not a salary income and strictly speaking, it is not treated as a side business.
However, there are many people who do not know this fact, so there is no need to explain to people around you that you are investing in real estate.It seems that many of the salaried investors do not disclose it because they hide it around even if they get rental income, and they may be told that they are touching the work rules.It's better not to mention it to avoid problems down the line at companies that don't allow side jobs, and to avoid being viewed negatively by your boss or co-workers.On top of that, if you take measures yourself to keep the company from knowing, you will not be known by people around you in terms of tax payments.
Summary
- More than 30% of investors who manage apartments are salaried workers in their 30s to 50s
- There is a possibility that you may be suspected of having a side job due to changes in resident tax and income tax
- Resident tax changed from special collection to ordinary collection.Inhabitant tax on income earned from the company is paid through the company, and inhabitant tax on income earned from real estate investment is paid separately
- There is a high risk of being found out when there is a large deficit, such as when purchasing a property.If possible, it is better to be able to explain to the company
- Real estate investment is not a side business.Income earned from real estate investment is rent, not salary
At Rich Road Co., Ltd., we will consistently support all aspects of investment real estate, from complete beginners to experienced people, from a wide range of real estate selection, loan consultations, post-purchase management, and renovations.
