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Japan vs Nicaragua: tax rates compared

Japan's income tax rate is 25.9pp higher than Nicaragua's (55.9% vs 30%). The 200-country average is 28%: both sit above it. Japan's figure is dated 2025-01-01 and Nicaragua's 2026-01-12, so the two rates come from different data vintages.

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

At a glance

0102030405060Income30%55.9%Corporate29.7%30%VAT10%15%Capital Gains15%20.3%Wealth Tax0%
five shared taxes, side by side
Tax JP NIDifference
Income Tax55.9%30%JP +25.9 pplargest gap
Corporate Tax29.7%30%NI +0.3 pp
VAT10%15%NI +5 pp
Capital Gains Tax20.3%15%JP +5.3 pp
Wealth Tax0%0%match

Income Tax

Income Tax, side by side
CountryRateSource
Japan55.9%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Nicaragua30%Source: PWC Worldwide Tax Summaries — Nicaragua (Individual, Taxes on personal income) · as of 2026-01-12
Difference+25.9 ppJapan higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Japan29.7%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Nicaragua30%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference−0.3 ppNicaragua higher

Nicaragua's corporate tax rate is 0.3pp higher than Japan's (30% vs 29.7%). The 201-country average is 22.6%: both sit above it.

VAT

VAT, side by side
CountryRateSource
Japan10%Source: PWC Worldwide Tax Summaries — Japan (Corporate, Other taxes) · as of 2026-01-13
Nicaragua15%Source: PWC Worldwide Tax Summaries — Nicaragua (Corporate, Other taxes) · as of 2026-01-12
Difference−5 ppNicaragua higher

Nicaragua's VAT rate is 5pp higher than Japan's (15% vs 10%). The 181-country average is 15%: Japan sits below it, Nicaragua matches the world average.

Capital Gains Tax

Capital Gains Tax, side by side
CountryRateSource
Japan20.3%Source: PWC Worldwide Tax Summaries — Japan (Individual, Income determination) · as of 2026-01-13
Nicaragua15%Source: EY Worldwide Personal Tax and Immigration Guide 2025-26 — Nicaragua · as of 2025-10-01
Difference+5.3 ppJapan higher

Japan's capital gains tax rate is 5.3pp higher than Nicaragua's (20.3% vs 15%). The 175-country average is 10.3%: both sit above it. Japan's figure is dated 2026-01-13 and Nicaragua's 2025-10-01, so the two rates come from different data vintages.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Japan0%Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13
Nicaragua0%Source: PWC Worldwide Tax Summaries — Nicaragua (Individual, Other taxes) · as of 2026-01-12
Difference0 ppdisplayed rates match

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

Not covered for both countries yet: Crypto Tax.