Japan’s New Digital Nomad Visa: Extended Stays and Remote Work Opportunities in 2024

Revised on 5th June 2024

Summary

The latest news regarding the Digital Nomad visa was received on February 2, 2024. According to this update, the Immigration and Immigration Agency has unveiled plans to introduce a new residency system. This innovative system aims to provide extended stay options for foreigners, often referred to as digital nomads, allowing them to work remotely while staying in Japan. Digital nomads encompass individuals who utilize digital technology to conduct their work globally, such as IT engineers, consultants, and business executives.

Under the current system, digital nomads can enter Japan on a tourist visa, permitting a stay of up to 90 days. However, due to the growing demand for extended stays in Japan while engaging in remote work, the introduction of a new visa status system has been proposed.

Under this fresh system, foreigners who meet specific requirements will be eligible to stay in Japan for a maximum of six months. These requirements include maintaining an annual income of at least 10 million yen and fulfilling conditions relevant to specified activities. Furthermore, the system allows family members to accompany the primary visa holder, with the aspiration that foreign individuals possessing valuable expertise will choose to reside in Japan, ultimately contributing to the local economy.

The key components of this new residency system, introduced by the Immigration and Residence Office, revolve around the following requirements:

• Annual income must be a minimum of 10 million yen.
• The individual should be a national of one of the approximately 50 countries/regions eligible to enter Japan without a visa.
• Enrolment in a private medical insurance plan is mandatory.

Foreign individuals who meet these criteria are granted the status of residence for “Designated activities” and are permitted a six-month stay in Japan. This system is also applicable to independent entrepreneurs conducting business abroad. Additionally, they are allowed to bring family members who have private medical insurance coverage.

This initiative is expected to provide digital nomads and remote workers from other countries with opportunities to extend their stay and work in Japan, ultimately contributing to the domestic Japanese economy. The implementation of this new residency system aligns with Japan’s broader efforts to attract international remote workers and play a role in economic and technological development.

Digital nomads represent a global trend, and several other countries have introduced similar systems to accommodate them. As part of the specific timeline for this initiative, public comments will be accepted starting from March, and the scheme’s implementation is anticipated to commence next month. It has been disclosed that Japan is actively considering this new system as a part of its strategy to embrace international remote workers, and significant progress is being made toward its implementation.

Call for public comments

On 3 February 2024, a call for public comments was published by the Policy Division of the Immigration and Immigration Agency (出入国在留管理庁). The following is the version of the Call for Public Comment at the time of publication and will be subject to change in the future based on feedback received from the public.

Aims and objectives of the amendments

In the Grand Design of New Capitalism and Action Plan 2023 Revised Edition (Cabinet Decision of 16 June 2023), it was stated that “In order to attract international remote workers (so-called ‘digital nomads’), issues including visas, status of residence and other institutional aspects will be identified and examined, and institutionalised within this year. The necessary measures are to be taken in light of the following: “The government will identify and study issues, including visas, status of residence and other institutional aspects, and institutionalise them within this fiscal year”.

Outline of amendments

(1) Partial revision of the Notification on “Designated Activities” (特定活動)

In order to accept international remote workers, the Immigration Control Act (Cabinet Order No. 319 of 1951; hereinafter referred to as the ‘Act’) is partially amended to specify the activities listed in the lower column of the table in Appended Table 1-5 of the Act in accordance with the provisions of Article 7(1)(ii) of the Immigration Control Act (Ministry of Justice Notification No. 131 of 1990)). The following activities shall be added as activities specified in advance by the Minister of Justice in a public notice as prescribed in Article 7, paragraph (1), item (ii).

1. activities to engage in business activities in Japan based on an employment contract with a legal entity established in accordance with the laws and regulations of a foreign state or other foreign organisation, using information and communications technology at a place of business of said organisation in a foreign state, or activities to provide services for a fee or sell goods, etc. using information and communications technology to a person in a foreign state. (Excluding activities which cannot be offered or sold, etc. without entering Japan.)

In addition, all of the following apply;

• The period of stay in Japan must not exceed six months for the entire twelve-month period beginning or ending on any day between 1 January and 31 December of the year of landing in Japan.
• Nationals of countries that are parties to tax treaties and visa-exempt countries/regions.
• Annual income must be 10 million yen or more.
• Have insurance against death, injury or illness during their stay in Japan.

2. daily activities performed as a spouse or child of an international remote worker. In addition, all of the following must also apply;

• Nationals of visa-exempt countries/regions, etc.
• Have insurance in case of death, injury or illness during their stay in Japan.

(2) Partial amendments to the Immigration Control Act Enforcement Regulations

The Ordinance for Enforcement of the Immigration Control and Refugee Recognition Act (Ministry of Justice Ordinance No. 54 of 1981) has been partially amended to exclude persons residing in Japan who are designated for the activities mentioned in (1) 1 and 2 above from the mid- to long-term residents stipulated in Article 19-3 of the Immigration Control Act.

Comments: What is “the mid- to long-term residents”, please refer to the Immigration Bureau’s website; 知っておきたい！！在留管理制度あれこれ

This means that the digital nomad visa holders cannot become residents of Japan, they will not be issued a Japanese residence card, they cannot register their address in Japan, they cannot join the National Health Insurance system, and other disadvantages are possible.

Criteria (Who has eligibility for this visa)

Those who stay in Japan for a period not exceeding six months and engage in international remote work, etc.

Activities to engage in work in foreign offices of a juridical person or other foreign organisation established in accordance with foreign laws and regulations in Japan using information and communication technologies, or activities to provide services for a fee or sell goods, etc. to a person in a foreign country using information and communication technologies, based on an employment contract with said organisation in Japan. Activities to provide services for a fee or sell goods, etc. to a person in a foreign country using information and communications technology (excluding those that cannot be provided or sold, etc. without entering Japan).

Examples include IT/software developers, digital designers and online secretaries who work remotely, and sole traders who manage foreign companies.

Benefit

The Digital Nomad visa has a duration of six months and is exempt from health insurance premiums and residential and income tax in Japan.

Nessesary Documents

Digital Nomad Visa:  Application for Certificate of Eligibility (COE)

1. application form for Certificate of Eligibility

2. copy of passport

3. photograph (a photograph of the specified standard must be prepared) 3*4 cm

4. material explaining your planned activities during your stay (reference form)

5. documents proving that the applicant’s annual income is JPY 10 million or more

Tax payment certificate, income certificate, employment contract, contract with a business partner (a certificate issued in the country where you have worked as proof of annual income, such as one that clearly states the contract period and the contract amount).

If you are unable to submit a tax payment certificate, etc., you should explain in writing why it is not possible to submit a tax payment certificate, etc., and submit an employment contract with a legal entity established in accordance with foreign laws and regulations, a contract with a business partner (which clearly states the contract amount), and documents from a bank or other savings account in your name showing a record of payments relating to annual income (copy of a bankbook or other document).

A copy of the screen of the web passbook (showing the transaction history) is also acceptable. However, the documents must be printed in a form that cannot be processed (e.g. Excel files are not acceptable).

[IMPORTAN POINT]

You want to apply for this visa and you are probably a freelancer who earns income from remote work. This section assumes that this is the case.

The key to proving the annual income requirement is to provide two documents;

The first is a certificate of tax payment for the last year issued in the country where the applicant has worked. This confirms that the applicant’s income including tax is at least the equivalent of JPY 10 million.

The other is the future prospects. This should confirm, for example, that the applicant will continue to work remotely under contract with the same company in his/her home country. From the content of the contract, it can be confirmed how much remuneration per hour will be earned, and assuming 2080 hours of annual working hours in Japan, the unit price x 2080 hours can be calculated to be more than the equivalent of 10 million yen.

The proof can also be strengthened by attaching previous payment records and other records of performance.

Another alternative to being a freelancer who works remotely is also possible. For example, if you are doing e-commerce internationally on the Internets, the digital nomad visa also applies.

What does not fall under this category is that you are not allowed to engage in activities on social networking sites (YouTube, Instagram, X, or Tiktok) as an influencer in Japan.

6. a copy of the certificate of subscription and terms and conditions of private medical insurance

Documents certifying that you have insurance against death, injury or illness during your stay in Japan (with a minimum coverage of 10 million yen for treatment of injury or illness).

The amount of compensation for medical treatment for injury and illness must be at least 10 million yen.

If the insurance attached to the credit card can cover such compensation, please submit a copy of the credit card and documents proving such compensation.

Travel insurance is mandatory and the following documents will be required, as with the Long Stay Tourist Visa.

SafetyWing‘s Digital Nomad Insurance is a good insurance policy for so-called nomadic people who travel the world.

The good thing about this insurance is that it costs as little as about 4,500 yen for four weeks for those up to 39 years old, or about 7,100 yen for those up to 49 years old, and is valid in most countries. Of course, it is also compliant with the Japanese digital nomad visa application. Available for purchase in 180 countries and can be purchased while already traveling in Japan.

The key point is to prove that you have future income from a foreign country other than Japan for remote work. These should be translated into Japanese.

How to Apply for “Digital Nomad Visa”? (Very Important)

There are TWO ways for foreigners (who are not in Japan) to apply for a digital nomad visa.

One is for you to apply for the visa in person at the Japanese embassy or consulate in your country of residence. This is the most common way.

You can apply directly to the Japanese Embassy in the country where you currently reside. However, although we can review your documents, you must make the application at the Japanese embassy yourself.  If you are applying at the local Japanese embassy or other Japanese consulates, our firm can still provide support, such as preparing a Legal Opinion Letter by Gyoseishoshi immigration lawyer.

Alternatively, you can also consider the following methods;

Enter Japan on a visa waiver scheme, e.g. for tourism purposes, meet with our lawyers to confirm your ID and we will apply for the Certificate of Eligibility (COE) to the Immigration Bureau on your behalf.

Based on current operations, we can infer that once the COE has been granted, you will be able to directly change your visa status to a digital nomad visa.

Please note that it is not possible to change from a ‘Temporary Visitor’ visa status (Visa Waiver Scheme) directly to a Digital Nomad visa. You must apply for a COE before you can obtain a digital nomad visa.

If you plan to stay in Japan for more than 90 days, it may be a good idea to come to Japan without a visa first, apply for a COE and then change to a digital nomad visa. However, you cannot leave Japan during the application period. Once you leave Japan, your digital nomad visa application must be made at the Japanese embassy or consulate in your country by yourself.

The COE for the Digital Nomad visa can only be submitted by our Immigration Lawyer while you are physically in Japan.

Also, as of 1 June 2024, the COE for the Digital Nomad visa is not yet eligible to apply online and must go to the Immigration Office to apply. Therefore, if you are currently in Japan on a tourist visa, you are advised to contact us and visit us as soon as possible.

Do I need Certificate of Eligibility (COE)?

Certificate of Eligibility (COE): if you would like to apply outside Japan, this digital nomad visa can be accepted without a Certificate of Eligibility. (I guess and I hope so. Unfortunately, the latest information is often not shared on the ground at Japanese embassies abroad. In such cases, it may be necessary to lodge a complaint with the Japanese Ministry of Foreign Affairs at its HQs.)

However, if you are in Japan currently, as stated above, you probably cannot be issued a visa directly from visa waiver status. We presume that you will always have to apply for a COE first, it will be granted, and then change your visa.