HK · AsiaJP · Asia
Hong Kong vs Japan: tax rates compared
Japan has an income tax rate of 55.9%, 38.9pp above Hong Kong's 17%. The 200-country average is 28%: Hong Kong sits below it, Japan sits above it.
Verified data covers six of the six tracked tax types for both countries; every rate below is cited to its source and dated.
At a glance
| Tax | HK | JP | Difference |
|---|---|---|---|
| Income Tax | 17% | 55.9% | JP +38.9 pp |
| Corporate Tax | 16.5% | 29.7% | JP +13.2 pp |
| VAT | 0% | 10% | JP +10 pp |
| Capital Gains Tax | 0% | 20.3% | JP +20.3 pp |
| Crypto Tax | 0% | 55% | JP +55 pplargest gap |
| Wealth Tax | 0% | 0% | match |
Income Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 17% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Taxes on personal income) · as of 2025-12-31 |
| Japan | 55.9% | Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01 |
| Difference | −38.9 pp | Japan higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 16.5% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Japan | 29.7% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | −13.2 pp | Japan higher |
Japan has a corporate tax rate of 29.7%, 13.2pp above Hong Kong's 16.5%. The 201-country average is 22.6%: Hong Kong sits below it, Japan sits above it.
VAT
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Corporate, Other taxes) · as of 2025-12-31 |
| Japan | 10% | Source: PWC Worldwide Tax Summaries — Japan (Corporate, Other taxes) · as of 2026-01-13 |
| Difference | −10 pp | Japan higher |
Japan has a VAT rate of 10%, 10pp above Hong Kong's 0%. The 181-country average is 15%: both sit below it. Hong Kong's figure is dated 2025-12-31 and Japan's 2026-01-13, so the two rates come from different data vintages.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Income determination) · as of 2025-12-31 |
| Japan | 20.3% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Income determination) · as of 2026-01-13 |
| Difference | −20.3 pp | Japan higher |
Japan has a capital gains tax rate of 20.3%, 20.3pp above Hong Kong's 0%. The 175-country average is 10.3%: Hong Kong sits below it, Japan sits above it. Hong Kong's figure is dated 2025-12-31 and Japan's 2026-01-13, so the two rates come from different data vintages.
Crypto Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: Hong Kong Inland Revenue Department — Departmental Interpretation and Practice Notes No. 39 (Revised): Digital Economy, Electronic Commerce and Digital Assets · as of 2020-03-01 |
| Japan | 55% | Source: PWC Japan — Japan Tax Update: Overview of 2026 Tax Reform Proposals (December 2025) · as of 2025-12-19 |
| Difference | −55 pp | Japan higher |
Japan has a crypto tax rate of 55%, 55pp above Hong Kong's 0%. The 88-country average is 13%: Hong Kong sits below it, Japan sits above it. Hong Kong's figure is dated 2020-03-01 and Japan's 2025-12-19, so the two rates come from different data vintages.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Hong Kong | 0% | Source: PWC Worldwide Tax Summaries — Hong Kong SAR (Individual, Other taxes) · as of 2025-12-31 |
| Japan | 0% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13 |
| Difference | 0 pp | displayed rates match |
Hong Kong and Japan share the same wealth tax rate: 0%. The 193-country average is 0.1%: both sit below it. Hong Kong's figure is dated 2025-12-31 and Japan's 2026-01-13, so the two rates come from different data vintages.