Japan's corporate income tax rates, consumption tax, payroll taxes, withholding tax, and various local taxes create a complex tax environment for businesses. It is essential for companies operating in Japan to understand and fulfill their tax obligations. Consulting with a tax professional or referring to the official website of the National Tax Agency of Japan is advised to stay updated on the latest tax regulations and requirements. By adhering to the tax laws of Japan, businesses can navigate the tax landscape and contribute to the growth of the country's economy.
Japan levies corporate income tax on the profits earned by companies operating within its jurisdiction. The corporate income tax rate in Japan is progressive, based on the level of taxable income. As of the knowledge cutoff date in September 2021, the tax rates are as follows:
It's important to note that additional local taxes, such as corporate inhabitant tax and enterprise tax, may also apply.
National Tax Agency of Japan Website: Official National Tax Agency of Japan Website