Japan vs South Korea
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
💰 Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country — side by side.
Individual Income Tax (Top Marginal Rate)
VAT / GST / Sales Tax
Corporate Tax Rate
Capital Gains Tax
Social Security & Payroll
🇯🇵 Japan — Prefectural & 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.
🇰🇷 South Korea — Local Income Tax & Resident Tax
South Korea's 17 metropolitan/provincial governments levy local income tax at 10% of national income tax. Property holding tax (Jongbu-se) is a national progressive tax on higher-value properties. Local education taxes and acquisition taxes apply to property transfers. Seoul has higher effective rates due to property values.
Japan vs South Korea: Key Tax Differences (2026)
💰 Income Tax: Japan and South Korea have similar top income tax rates (5–45% vs 6–45%).
🛒 VAT/Sales Tax: Both countries have comparable consumption tax rates (8–10% vs 10%).
🏢 Corporate Tax: 🇰🇷 South Korea offers a lower corporate rate (24% vs 30.62%), which can influence business location decisions.
📈 Capital Gains: 🇯🇵 Japan taxes investment gains at a lower rate (20.315% vs 45%), benefiting investors.