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Romania vs Japan
Tax Rate Comparison

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

🇷🇴 Romania
vs
🇯🇵 Japan
Tax Year:

💰 Personal Income Tax Calculator

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

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
10%
10% flat; potential graduated system under IMF/EU pressure
No change
5–45%
Basic deduction increase for low earners
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
5–19%
19% standard; possible increase for fiscal consolidation
No change
8–10%
No rate change; digital services tax under review
No change

Corporate Tax Rate

Corporate Tax Rate
16%
16% maintained; micro regime tightening
No change
~30.62%
Global Minimum Tax applies to large MNCs
No change

Capital Gains Tax

Capital Gains Tax
10%
10% flat; potential reform
No change
20.315%
Expanded NISA (tax-free investment) ongoing
No change

Social Security & Payroll

Social Security / Payroll
~37.25%
Contribution reform pending; pension system deficit
No change
~28.5%
Coverage expansion to part-time workers ongoing
No change
State, Regional & Local Taxes

🇷🇴 RomaniaLocal & County Taxes

Romania's 41 counties (judeţe) and Bucharest municipality do not set income tax — this is nationally set. Municipalities levy local taxes including property tax (impozit pe clădiri, impozit pe teren) and vehicle tax (impozit pe mijloace de transport). Bucharest has higher property tax coefficients than rural areas. A micro-enterprise tax regime (1% or 3% on turnover) applies to small companies instead of standard CIT. Romania has had the EU's lowest flat income tax rate at 10%.

🇯🇵 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.

⚠️ 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.

Romania vs Japan: Key Tax Differences (2026)

💰 Income Tax: 🇯🇵 Japan has a higher top income tax rate (10% vs 5–45%). 🇷🇴 Romania is more favourable for high earners.

🛒 VAT/Sales Tax: Romania has a higher consumption tax (5–19% vs 8–10%).

🏢 Corporate Tax: 🇷🇴 Romania offers a lower corporate rate (16% vs 30.62%), which can influence business location decisions.

📈 Capital Gains: 🇷🇴 Romania taxes investment gains at a lower rate (10% vs 20.315%), benefiting investors.

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