Tax Rates for Corporations
Japanese corporation tax is a direct tax on the net income of corporations. Tax payers subject to Japanese corporation tax are business entities such as Japanese domestic corporations, foreign corporations, non-juridical organizations, cooperatives and public interest corporations. The reduce rate applicable to the first ¥8m of taxable income for a company with a capital of less than ¥100m is 15% through 31 March 2019 and 19% thereafter.
Tax Years beginning between 1 April 2016 and 31 March 2018 | Tax Years beginning on or after 1 April 2018 | |
Ordinary corporations | 23.4% | 23.2% |
Mediam and Small sized corporations (capital not exceeding ¥100m), generally including incorporated associations and non-jurisdical organizations): Income not exceeding ¥8m |
19% |
19%(15% for tax years beginning before 1 April 2019) |
Midiam and Small sized corporations: Income exceeding ¥8m | 23.4% | 23.2% |
Public interest corporations, cooporatives and specified medical corporations | 19% (15% for tax years beginning before 1 April 2019) |
19% (15% for tax years beginning before 1 April 2019) |
Specified cooperatives: special rate on income in excess of ¥1 billion | 22.0% | 22.0% |