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Japan vs Timor-Leste: tax rates compared

Japan has an income tax rate of 55.9%, 45.9pp above Timor-Leste's 10%. The 200-country average is 28%: Japan sits above it, Timor-Leste sits below it. Japan's figure is dated 2025-01-01 and Timor-Leste's 2026-03-05, so the two rates come from different data vintages.

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

At a glance

0102030405060Income10%55.9%Corporate10%29.7%Capital Gains10%20.3%Wealth Tax0%
four shared taxes, side by side
Tax JP TLDifference
Income Tax55.9%10%JP +45.9 pplargest gap
Corporate Tax29.7%10%JP +19.7 pp
Capital Gains Tax20.3%10%JP +10.3 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
Timor-Leste10%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Taxes on personal income) · as of 2026-03-05
Difference+45.9 ppJapan higher

Corporate Tax

Corporate Tax, side by side
CountryRateSource
Japan29.7%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Timor-Leste10%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference+19.7 ppJapan higher

Japan has a corporate tax rate of 29.7%, 19.7pp above Timor-Leste's 10%. The 201-country average is 22.6%: Japan sits above it, Timor-Leste sits 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
Timor-Leste10%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Taxes on personal income) · as of 2026-03-05
Difference+10.3 ppJapan higher

Japan has a capital gains tax rate of 20.3%, 10.3pp above Timor-Leste's 10%. The 175-country average is 10.3%: Japan sits above it, Timor-Leste sits below it.

Wealth Tax

Wealth Tax, side by side
CountryRateSource
Japan0%Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13
Timor-Leste0%Source: PWC Worldwide Tax Summaries — Timor-Leste (Individual, Other taxes) · as of 2026-03-05
Difference0 ppdisplayed rates match

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

Not covered for both countries yet: VAT, Crypto Tax.