Foreigners living in Japan are subject to the same income tax rates as Japanese citizens and must pay taxes on their earnings, consumption tax on goods purchased within the country, and customs duties on goods imported from abroad. There are certain deductions and social security contributions available that can reduce taxable income. The process of filing an annual return follows a few steps and those who require assistance completing their return should use an accountant/tax agent. Failure to file before the deadline may result in penalties being imposed including fines up to 500 000 yen plus interest charges applied at 3% above prime rate.