JP · AsiaGB · 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 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
| Tax | JP | GB | Difference |
|---|---|---|---|
| Income Tax | 55.9% | 45% | JP +10.9 pp |
| Corporate Tax | 29.7% | 25% | JP +4.7 pp |
| VAT | 10% | 20% | GB +10 pp |
| Capital Gains Tax | 20.3% | 24% | GB +3.7 pp |
| Crypto Tax | 55% | 24% | JP +31 pplargest gap |
| 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 |
| United Kingdom | 45% | Source: OECD Tax Database — Top statutory personal income tax rates · as of 2025-01-01 |
| Difference | +10.9 pp | Japan higher |
Corporate Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 29.7% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| United Kingdom | 25% | Source: Tax Foundation — Worldwide Corporate Tax Rates · as of 2025-01-01 |
| Difference | +4.7 pp | Japan 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
| Country | Rate | Source |
|---|---|---|
| Japan | 10% | Source: PWC Worldwide Tax Summaries — Japan (Corporate, Other taxes) · as of 2026-01-13 |
| United Kingdom | 20% | Source: PWC Worldwide Tax Summaries — United Kingdom (Corporate, Other taxes) · as of 2025-12-24 |
| Difference | −10 pp | United Kingdom higher |
United Kingdom has a VAT rate of 20%, 10pp above Japan's 10%. The 181-country average is 15%: Japan sits below it, United Kingdom sits above 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.
Capital Gains Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 20.3% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Income determination) · as of 2026-01-13 |
| United Kingdom | 24% | Source: GOV.UK (HMRC) — Capital Gains Tax: rates · as of 2024-10-30 |
| Difference | −3.7 pp | United Kingdom higher |
United Kingdom has a capital gains tax rate of 24%, 3.7pp above Japan's 20.3%. The 175-country average is 10.3%: both sit above it. Japan's figure is dated 2026-01-13 and United Kingdom's 2024-10-30, so the two rates come from different data vintages.
Crypto Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 55% | Source: PWC Japan — Japan Tax Update: Overview of 2026 Tax Reform Proposals (December 2025) · as of 2025-12-19 |
| United Kingdom | 24% | Source: GOV.UK (HMRC) — Check if you need to pay tax when you sell cryptoassets · as of 2025-05-29 |
| Difference | +31 pp | Japan higher |
Japan has a crypto tax rate of 55%, 31pp above United Kingdom's 24%. The 88-country average is 13%: both sit above it.
Wealth Tax
| Country | Rate | Source |
|---|---|---|
| Japan | 0% | Source: PWC Worldwide Tax Summaries — Japan (Individual, Other taxes) · as of 2026-01-13 |
| United Kingdom | 0% | Source: PWC Worldwide Tax Summaries — United Kingdom (Individual, Other taxes) · as of 2025-12-24 |
| Difference | 0 pp | displayed 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.