Monday, August 31, 2009

DPJ Government and Prime Minister Hatoyama

Japan is to get a new prime minister (again) in the form of Mr. Hatoyama. There have been some pretty charisma lacking leaders in Japan in the past, so it surprises me that the population of Japan has decided to elect a pussy cat as the leader of their country.

"[Mr Hatoyama] has a very free point of view. From morning to night, he always wants to do the right thing. The problem is he doesn't know what the right thing is." (Mure Dickie).

I can't help but think that in a hurry to get rid of a poorly led LDP party that the citizens of Japan have rushed to elect an even further incompetant DPJ with a puppet as a leader. Time will tell, but I have a feeling that some people will soon regret their voting decisions!

Leading a country is not just about offering the common people money and free highways.....

Social Insurance Crackdown

In addition to my previous entry on the Alien Registration System, it is worth noting that this is not the only area of "change" or crack down with regard to foreigners and foreign workers.

As of April 2010, the regional immigration bureau will start requesting proof of tax payments (ie. tax certificates) and proof of Japanese social insurance coverage (from the local authorities) in order to approve applications for either an extension of period of stay or a change of residence status.

Local employment insurance authorities have already started requesting lists of foreign national employees from employers.

This is going to be a big blow for companies that have encouraged foreign employees to take out their own health insurance and not pay pension dues (nenkin) in order to maximize their monthly take home pay. I can see a number of English schools trembling in their shoes, as they realize they will now have to convince their teachers that they will have to be enrolled accordingly and then themselves take responsibility for half of the cost of the social insurances, like the remainder of companies in Japan.

It would appear that both national and local authorities are going to police foreigner residential and working details more strictly going forward. Therefore, if you have been dodging the bullet at your company, it might be time to come clean before it is too late!

Rental housing in Tokyo or Nagoya? Serviced Apartments in Nagoya? Relocation in Tokyo and Nagoya? Car / Furniture Leasing and Purchase in Tokyo or Nagoya? http://www.japanhomesearch.com/ and http://www.relojapan.com/. We want to help you in Japan!

Sunday, August 30, 2009

Foreigner Registration and Re-Entry Permit Change

The Alien Registration System will be changing. It is going to take at least 3 years to implement, but it might pay to take a look at what is going to happen now!

The major changes are as follows:

1. The current Alien Registration Card will be replaced by a new Residence Card, called a Zairyu card.

2. The maximum period of stay on your status of entry will be extended from 3 to 5 years

3. The Re-entry Permit will no longer be required (as long as you are not leaving Japan for longer than 12-months)

FURTHER DETAILS

Residence Card
The current Alien Registration Card will be abolished, and a new Residence Card system will be implemented by the Immigration Bureau of the Ministry of Justice. The Residence Card will be issued by Regional Immigration Offices and Immigration Inspection office at the airport (ie not your local ward office / city or town office as before). The contents of the new card will be similar to the current Alien Registration Card including information such as name, nationality, address, type ofimmigration status, date of expiry, place of work, work restrictions and a photograph, but an IC chip will be added to the new card as extra "card security" (so your card can't be forged).

If there is a change to any one of the items listed on the card, it must be reported within 14 days to the regional immigration office. Changes in home address must also be reported within 14 days to the local government office.

The local authority will maintain residence information using the same system as is currently in place for Japanese nationals.

Duration of Stay and Re-Entry Permit
This is the big benefit to foreigners of the new system. The maximum period of stay will be extended from 3 years to 5 years, and accordingly, the maximum valid period for a Re-Entry Permit will also be extended to 5 years. However, a Re-Entry Permit will only be required if a foreign resident travels away from Japan for a period exceeding one year.

Enforcement of Penalties
Although penalties already exist in the Immigration Control and Refugee Recognition Act, the penaltiesavailable under this Act are not really enforced currently. Under the revised immigration laws, further penalties are included and expected to be enforced.

The three main categories of penalties and the reasons for imposing them are as follows:

a. Revocation of Status of Residence
- False or fraudulent application for status of residence
- Failure to report a change of marital status within six months
- Failure to report a new home address within 90 days or reporting a falsified address.

b. Deportation
- Posession of a forged Residence Card
- Illegal employment
- Imprisonment due to forged documents or breach of duties with respect to the Zairyu Card

c. Imprisonment or Fines
- Failure to report information as required by law; subject to imprisonment up to 1-year or a fine up to JPY 200,000
- Failure to report a new address within 14 days; subject to a fine up to JPY 200,000
- Encouraging illegal employment; subject to imprisonment up to three years or a fine up to JPY 3,000,000

Get ready for a crackdown in a few years time!

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Tuesday, August 18, 2009

The General Election and Real Estate

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There is certainly a lot of talk about the General Elections going round. Who are you backing? The incumbent LDP with Asso (drop the "o" for effect) or the DPJ who are promising cash for everyone?

Well from a Real Estate perspective, there are alot of agents out there that going to be voting for Asso to get back in. Yes, anyone involved in buy and sell is probably sensible to vote LDP.

Why? Well, the good old DPJ, in an addendum to their "manifest", are claiming to "clean up" the real estate industry by making it illegal to take commissions from both the buyer and the seller in a real estate transaction. Under the current Japanese law, real estate agents in a buy/sell transaction are able to take 3% + 60,000 yen from each of the buyer and the seller in a transaction. The DPJ have probably read an article on how things are done in the US, and are claiming to put a stop to this, and only allowing a qualified real estate agent to work one side of the transaction.

This is wonderful news for agents involved in buy / sell transactions that make up about 90% of all transactions in Real Estate in Japan. Not only are agents struggling to get by in the current economy where currently there are very few transactions as banks are not willing to finance anyone, but now the DPJ is taking away potentially half of their revenue in a transaction......Even when the property market does begin to recover, what does this do for the Real Estate industry of Japan? Pretty much nothing....... It doesn't create any benefit to anyone, as the pie remains the same. It just increases the hands in the pie, which we all know creates nothing but inefficiency (and already there are enough hands in the pie in Japan!).

What will happen if such a new law is passed? Well every real estate company is going to run around and set up an additional dummy company to get around the law. More companies...... less profits in each, less tax collected from the Real Estate industry.....Does the end user or buyer win? No, they still pay the same fees. Does the seller win? No, they still pay the same fees..... Sounds like an incredibly good idea from the DPJ! Certainly not a win, win, win situation!

From what I understand from the information available, this law won't effect us in the rental sector. However, if the DPJ ideas extend to residential property and commercial office rental and Japanese Real Estate Law is policed more strictly so that payments can only be received on one side of the transaction, we are going to see significant movement and changes in the market for real estate agents from each end of the spectrum. Significant negative movement, which will result in further unemployment.

Are the DPJ really thinking of the future of the Japanese economy? I would question any party that makes increasing "domestic demand" a priority, when the population of Japan, working population in Japan, birth rates, and the number of households (will decrease last) are all falling or will fall considerably in the near future. What possibility is there of raising "domestic demand" in Japan under these circumstances? Surely, Japan is better to look to the rest of the world, and how they can use their technology and R&D to meet demand in developing countries through exports and producing product in those countries. Sorry, but the DPJ is dreaming and Japan is in danger of further digging a hole for themselves by voting for this party. I just don't feel good about any of Japanese politics!

Friday, August 7, 2009

My Favorite Camping Ground

This camping ground is one that our family use at least once a year.

It is called "Komagane Kogen Kazoku Ryoko Mura Arupusu no Oka", or more literally in English; Komagane Family Village on Top of the Alps.

http://www.chuo-alps.com/village_alpes/index.html (Japanese)
http://www.chuo-alps.com/en/index.html (English- about the area)

I am not sure of the on top of the Alps piece, although it certainly well up in a valley. You access the camping ground facility from "Komagane IC" on the Chuo Expressway. It is about 2.5 hours from Nagoya or 3- 3.5 hours from Tokyo (before the heavy traffic).

So, what is great about this camping ground;
- The facilities are new
- The camp sites are a good size and all have a picnic table included
- There is an Onsen (Hot Springs) within the facility
- There are many activities to enjoy; go-carting, mini golf, mallet golf and much more
- The facility is 5 mins drive from the Komagane IC
- It is beautifully green, full of nature, quiet and has great views of the valley below

What's more, the Komagane Village nearby has more Onsen, shops, a river (and nice park along the river), and you can also take a ropeway to the Komagatake Mountain.

Also, don't forget to take a look at the Kozenji Shrine that is a 15 min walk from the camp site too!

Rental housing in Tokyo or Nagoya? Serviced Apartments in Nagoya? Relocation in Tokyo and Nagoya? Car / Furniture Leasing and Purchase in Tokyo or Nagoya? http://www.japanhomesearch.com/ and http://www.relojapan.com/. We want to help you in Japan!

Camping In Japan

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If you are interested for the Kanto Area, let us know, and we will look into camp sites in this area too!

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