International Comparison of Income Tax Systems

 

Japan

U.S.A.

U.K.

Germany

France

Ratio of income tax revenue to national tax revenue

(1996)

(1996)

(1996)

(1996)

(1996)

34.3%

71.5%

32.9%

35.0%

20.5%

Ratio of tax burden to individual income

(1996)

(1996)

(1996)

(1996)

(1996)

4.1%

10.3%

10.2%

8.2%

4.1%

(6.1%)

(12.6%)

     

Tax threshold

Before the tax reform

Before Nov. 1994

Present

       

2,357,000yen

3,277,000yen

3,616,000yen

2,674,000yen

1,165,000yen

4,016,000yen

3,362,000yen

Tax Rates

Minimum tax rate

10.5%

10%

10%

15%

20%

25.9%

10.5%

(local inhabitants tax)

(4.5%)

(5%)

(5%)

(4%)

     

Maximum tax rate

70%

50%

50%

39.6%

40%

53%

54%

(local inhabitants tax)

(18%)

(15%)

(15%)

(6.85%)

     

Number of blackets

15

5

5

5

3

-

6

(local inhabitants tax)

(14)

(3)

(3)

(5)

     
(Notes) 1. Tax threshold is the case of an employee with a spouse and two children on Jan. 1, 1998. (In Japan, one of the children is between 16 and 22 years of age. In United States, one of the children is under 16 years of age.).
2. "Before the tax reform" in Japan indicates in the year 1986.
3. The figures in parentheses refer to local inhabitants tax. Individual state income tax rates in New York are used to represent the local inhabitants tax rates in the United States.
4. The foreign currency figures were converted into yen by the following exchange rates : 1 dollar=130yen, 1 pound=215yen, 1 mark=72yen, 1 franc=21yen

[Table of Contents]

[Next Page]