JP · Asia ↔ GB · Europe

Japan vs United Kingdom: tax rates compared

Japan has an income tax rate of 55.9%, 10.9pp above United Kingdom's 45%. The 37-country average is 43.2%: both sit above it.

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

Income Tax

0102030405060World avg 43.2%JP 55.9%GB 45%
Income Tax, side by side
CountryRateSource
Japan55.9%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
United Kingdom45%Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01
Difference+10.9 ppJapan higherlargest gap on this page

Corporate Tax

0102030405060World avg 22.6%JP 29.7%GB 25%
Corporate Tax, side by side
CountryRateSource
Japan29.7%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
United Kingdom25%Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01
Difference+4.7 ppJapan higher

Japan has a corporate tax rate of 29.7%, 4.7pp above United Kingdom's 25%. The 201-country average is 22.6%: both sit above it.

VAT

0102030405060World avg 19.2%JP 10%GB 20%
VAT, side by side
CountryRateSource
Japan10%Source: OECD Tax Database — VAT/GST standard rates · as of 2023-09-01
United Kingdom20%Source: OECD Tax Database — VAT/GST standard rates · as of 2023-09-01
Difference−10 ppUnited Kingdom higher

United Kingdom has a VAT rate of 20%, 10pp above Japan's 10%. The 37-country average is 19.2%: Japan sits below it, United Kingdom sits above it.

Wealth Tax

0102030405060World avg 0.1%JP 0%GB 0%
Wealth Tax, side by side
CountryRateSource
Japan0%Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13
United Kingdom0%Source: PWC Worldwide Tax Summaries — United Kingdom (Individual, Other taxes) · as of 2025-12-24
Difference0 ppdisplayed rates match

Japan and United Kingdom share the same wealth tax rate: 0%. The 193-country average is 0.1%: both sit below it. Japan's figure is dated 2026-01-13 and United Kingdom's 2025-12-24, so the two rates come from different data vintages.

Not covered for both countries yet: Capital Gains Tax, Crypto Tax.