Corporate Tax Comparison

United Kingdom vs Japan

Compare United Kingdom and Japan corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.

Time of Update — United Kingdom: 4/02/2026 · Japan: 4/03/2026

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Compare Corporate Tax

United Kingdom

Japan

Basic Corporate Tax Comparison

PwC World Tax Summary OECD Statistics

Time of Update — United Kingdom: 4/02/2026 · Japan: 4/03/2026

Corporate Income Tax (CIT)

United Kingdom

Japan

General CIT Rate:

1. Companies with profits exceeding £250,000 are subject to a main rate of 25% (effective from 1 April 2023).
2. Companies with profits not exceeding £50,000 are subject to a small profits rate of 19% (effective from 1 April 2023).
3. A tapered tax rate applies to profits falling between £50,000 and £250,000.

General CIT Rate:

23.2

CIT Return Due Date:

Tax returns need to be submitted within one year after the end of the accounting period.

CIT Return Due Date:

Within two months after the end of the company's fiscal year.

CIT Payment Due Date:

According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.

CIT Payment Due Date:

Within two months after the end of the company's fiscal year.

CIT Estimated Payment Due Date:

According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.

CIT Estimated Payment Due Date:

Within two months after the end of the sixth month of the company's accounting period.

Withholding Tax (WHT)

United Kingdom

Japan

Resident Withholding Tax (Dividend/Interest/Royalty):

0/20/20

Resident Withholding Tax (Dividend/Interest/Royalty):

20/20/0

Non-Resident Withholding Tax (Dividend/Interest/Royalty):

0/20/20

Non-Resident Withholding Tax (Dividend/Interest/Royalty):

15/20/20

Value-Added Tax (VAT)

United Kingdom

Japan

General VAT Rate:

Learn More

Value-Added Tax (VAT)

General VAT Rate:

Learn More

Value-Added Tax (VAT)

Capital Gain Tax (CGT)

United Kingdom

Japan

General Capital Gain Tax Rate:

Capital gains are subject to the regular corporate tax rate.

General Capital Gain Tax Rate:

Capital gains are subject to the normal corporate income tax rate.

Effective Tax Rate (ETR)

United Kingdom

Japan

Composite Effective Average Tax Rate:

22.55

Composite Effective Average Tax Rate:

28.36

Composite Effective Marginal Tax Rate:

11.51

Composite Effective Marginal Tax Rate:

29.26

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