JP · AsiaKR · Asia

Japan vs South Korea: tax rates compared

Japan has an income tax rate of 55.9%, 6.4pp above South Korea's 49.5%. The 200-country average is 28%: both sit 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

0102030405060Income49.5%55.9%Corporate26.4%29.7%VAT10%Capital Gains0%20.3%Crypto0%55%Wealth Tax0%
six shared taxes, side by side
Tax JP KRDifference
Income Tax55.9%49.5%JP +6.4 pp
Corporate Tax29.7%26.4%JP +3.3 pp
VAT10%10%match
Capital Gains Tax20.3%0%JP +20.3 pp
Crypto Tax55%0%JP +55 pplargest gap
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
South Korea49.5%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference+6.4 ppJapan higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Japan29.7%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
South Korea26.4%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference+3.3 ppJapan higher

Japan has a corporate tax rate of 29.7%, 3.3pp above South Korea's 26.4%. 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
South Korea10%Source: PWC Worldwide Tax Summaries — Korea, Republic of (Corporate, Other taxes) · as of 2026-06-04
Difference0 ppdisplayed rates match

Japan and South Korea share the same VAT rate: 10%. The 181-country average is 15%: both sit below it.

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
South Korea0%Source: PWC Worldwide Tax Summaries — Korea, Republic of (Individual, Income determination) · as of 2026-07-02
Difference+20.3 ppJapan higher

Japan has a capital gains tax rate of 20.3%, 20.3pp above South Korea's 0%. The 175-country average is 10.3%: Japan sits above it, South Korea sits below it.

Crypto Tax

Crypto Tax, side by side
CountryRateSource
Japan55%Source: PWC Japan — Japan Tax Update: Overview of 2026 Tax Reform Proposals (December 2025) · as of 2025-12-19
South Korea0%Source: PWC Worldwide Tax Summaries — Korea, Republic of (Corporate, Income determination — Income from virtual assets) · as of 2026-06-04
Difference+55 ppJapan higher

Japan has a crypto tax rate of 55%, 55pp above South Korea's 0%. The 88-country average is 13%: Japan sits above it, South Korea sits below it. Japan's figure is dated 2025-12-19 and South Korea's 2026-06-04, 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
South Korea0%Source: PWC Worldwide Tax Summaries — Korea, Republic of (Individual, Other taxes) · as of 2026-07-02
Difference0 ppdisplayed rates match

Japan and South Korea share the same wealth tax rate: 0%. The 193-country average is 0.1%: both sit below it.