JP · AsiaPH · Asia
Japan vs Philippines: tax rates compared
Between the two, Japan's income tax rate (55.9%) tops Philippines's (35%) by 20.9pp. The 200-country average is 28%: both sit above it. Japan's figure is dated 2025-01-01 and Philippines's 2026-07-02, 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
| Tax | JP | PH | Difference |
|---|---|---|---|
| Income Tax | 55.9% | 35% | JP +20.9 pplargest gap |
| Corporate Tax | 29.7% | 25% | JP +4.7 pp |
| VAT | 10% | 12% | PH +2 pp |
| Capital Gains Tax | 20.3% | 0.6% | JP +19.7 pp |
| Wealth Tax | 0% | 0% | match |
Income Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 55.9% | Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01 |
| Philippines | 35% | Source: PWC Worldwide Tax Summaries — Philippines (Individual, Taxes on personal income) · as of 2026-07-02 |
| Difference | +20.9 pp | Japan higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 29.7% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Philippines | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | +4.7 pp | Japan higher |
Between the two, Japan's corporate tax rate (29.7%) tops Philippines's (25%) by 4.7pp. The 201-country average is 22.6%: both sit above it.
VAT
| Country | Rate | Source |
|---|---|---|
| Japan | 10% | Source: PWC Worldwide Tax Summaries — Japan (Corporate, Other taxes) · as of 2026-01-13 |
| Philippines | 12% | Source: PWC Worldwide Tax Summaries — Philippines (Corporate, Other taxes) · as of 2026-01-12 |
| Difference | −2 pp | Philippines higher |
Between the two, Philippines's VAT rate (12%) tops Japan's (10%) by 2pp. The 181-country average is 15%: both sit below it.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 20.3% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Income determination) · as of 2026-01-13 |
| Philippines | 0.6% | Source: PWC Worldwide Tax Summaries — Philippines (Individual, Income determination) · as of 2026-07-02 |
| Difference | +19.7 pp | Japan higher |
Between the two, Japan's capital gains tax rate (20.3%) tops Philippines's (0.6%) by 19.7pp. The 175-country average is 10.3%: Japan sits above it, Philippines sits below it.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 0% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13 |
| Philippines | 0% | Source: PWC Worldwide Tax Summaries — Philippines (Net wealth/worth tax rates) · as of 2026-01-12 |
| Difference | 0 pp | displayed rates match |
There's no gap here — Japan and Philippines both post a wealth tax rate of 0%. The 193-country average is 0.1%: both sit below it.
Not covered for both countries yet: Crypto Tax.