CA · Americas ↔ JP · Asia

Canada vs Japan: tax rates compared

Japan's income tax rate is 2.4pp higher than Canada's (55.9% vs 53.5%). The 37-country average is 43.2%: both sit above it.

Verified data covers four of the six tracked tax types for both countries; every rate below is cited to its source and dated.

Income Tax

0102030405060World avg 43.2%CA 53.5%JP 55.9%
Income Tax, side by side
CountryRateSource
Canada53.5%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Japan55.9%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference−2.4 ppJapan higher

Corporate Tax

0102030405060World avg 22.6%CA 26%JP 29.7%
Corporate Tax, side by side
CountryRateSource
Canada26%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Japan29.7%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−3.7 ppJapan higher

Japan's corporate tax rate is 3.7pp higher than Canada's (29.7% vs 26%). The 201-country average is 22.6%: both sit above it.

VAT

0102030405060World avg 19.5%CA 5%JP 10%
VAT, side by side
CountryRateSource
Canada5%Source: PWC Worldwide Tax Summaries — Canada (Corporate, Other taxes) · as of 2026-06-12
Japan10%Source: PWC Worldwide Tax Summaries — Japan (Corporate, Other taxes) · as of 2026-01-13
Difference−5 ppJapan higherlargest gap on this page

Japan's VAT rate is 5pp higher than Canada's (10% vs 5%). The 37-country average is 19.5%: both sit below it.

Wealth Tax

0102030405060World avg 0.1%CA 0%JP 0%
Wealth Tax, side by side
CountryRateSource
Canada0%Source: PWC Worldwide Tax Summaries — Canada (Individual, Other taxes) · as of 2026-06-12
Japan0%Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13
Difference0 ppdisplayed rates match

Canada's wealth tax rate is identical to Japan's — both sit at 0%. The 193-country average is 0.1%: both sit below it.

Not covered for both countries yet: Capital Gains Tax, Crypto Tax.