WorldTax CompareAll Comparisons

Japan vs Barbados
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇯🇵 Japan
vs
🇧🇧 Barbados
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
5–45%
Basic deduction increase for low earners
No change
12.5–28.5%
28.5% top; competitive Caribbean jurisdiction
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
8–10%
No rate change; digital services tax under review
No change
17.5%
17.5% stable
No change

Corporate Tax Rate

Corporate Tax Rate
~30.62%
Global Minimum Tax applies to large MNCs
No change
5.5–9%
Tiered rate; Pillar Two compliance for large groups
No change

Capital Gains Tax

Capital Gains Tax
20.315%
Expanded NISA (tax-free investment) ongoing
No change
0%
No CGT — sustained advantage
No change

Social Security & Payroll

Social Security / Payroll
~28.5%
Coverage expansion to part-time workers ongoing
No change
~18.1%
NIS contributions; pension reform needed
No change
State, Regional & Local Taxes

🇯🇵 JapanPrefectural & Municipal Inhabitant Tax

Japan's 47 prefectures levy inhabitant tax (住民税) at a flat 10% on top of national income tax — 4% prefectural + 6% municipal. A reconstruction special income tax of 2.1% of national tax applies through 2037. Property acquisition tax and fixed asset tax (1.4% of assessed value) are levied locally. Large cities impose additional taxes on large businesses.

🇧🇧 BarbadosParish Councils & Land Tax

Barbados's 11 parishes have parish councils that levy land tax at 0.1%–0.7% of site value. Barbados has long been a significant international business and financial centre, particularly for Canadian companies. Major tax reform in 2019 aligned Barbados with OECD BEPS standards. A tiered corporate tax rate structure was introduced. Barbados was removed from the EU tax haven blacklist following these reforms and maintains competitiveness as an IFC.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Japan vs Barbados: Key Tax Differences (2026)

💰 Income Tax: 🇯🇵 Japan has a higher top income tax rate (5–45% vs 12.5–28.5%). 🇧🇧 Barbados is more favourable for high earners.

🛒 VAT/Sales Tax: Barbados has a higher consumption tax (8–10% vs 17.5%).

🏢 Corporate Tax: 🇧🇧 Barbados offers a lower corporate rate (9% vs 30.62%), which can influence business location decisions.

📈 Capital Gains: 🇧🇧 Barbados taxes investment gains at a lower rate (0% vs 20.315%), benefiting investors.

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