Taxes on Japanese stocks and capital gains
Separate taxation, the 20.315% rate, withholding accounts, filing, and loss offsets.
Gains on listed shares are taxed separately at a combined 20.315%; a withholding-designated (特定) account collects the tax automatically, but you can file to offset losses against gains and dividends or carry a loss forward three years.
Effective: 2026-01-01 to 2026-12-31
Professional review pending — treat as draft and confirm with the authorities.
Key points
- Combined rate: 20.315% (15% national + 0.315% reconstruction + 5% local).
- A withholding 特定 account settles tax without a return.
- Filing lets you offset losses and carry them forward three years.
- Filing can affect resident tax, insurance premiums, and dependent status.
The rate and accounts
Listed-share gains use separate self-assessment taxation at 20.315% combined. If you use a withholding-designated (特定口座・源泉徴収あり) account, the broker withholds and remits, so you need not file. A non-withholding 特定 account gives you the annual report but you file yourself, and a general account requires you to compute everything.
When to file anyway
Even with a withholding account, filing can pay off: you can offset a listed-share loss against gains and eligible dividends, and carry a remaining loss forward three years with continuous filing. But filing adds the income to resident-tax measures, which can raise health-insurance premiums or affect dependent status — so weigh the whole picture.
Who this is for
- Stock investors
- Anyone with a taxable brokerage account
What this is not
- NISA holdings (tax-free, losses unusable)
- Filing to use losses also raises resident-tax-based measures like health-insurance premiums; model both.
Frequently asked questions
How is cryptocurrency taxed in Japan?
Crypto profits are treated as miscellaneous income (雑所得) and taxed at your marginal rate — combined with resident tax this can reach roughly 55%, unlike the ~20% flat rate for listed stocks. Every disposal is taxable, including selling for yen, trading one crypto for another, and spending crypto on goods. You must track cost basis and calculate gains, so recordkeeping tools are important, and larger activity often warrants a tax accountant.