Asked about forming, incorporating, or registering a company in Japan.
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Effective corporate tax rate (national + local)
~30–34% (varies by municipality and capital)Corporate Tax Act (法人税法); Local Tax Act (地方税法)
Minimum capital — GK (合同会社)
¥1Companies Act (会社法)
Minimum capital — KK (株式会社)
¥1Companies Act (会社法)
Notary fee for KK articles of incorporation
¥30,000–¥50,000 (capital-dependent scale)Notary Act (公証人法)
Revenue stamp (収入印紙) — paper articles filing
¥40,000Revenue Stamp Tax Act (印紙税法)
Revenue stamp (収入印紙) — electronic articles filing (電子定款)
¥0Revenue Stamp Tax Act (印紙税法)
Certified copy fee (notary office)
~¥2,000Notary Act (公証人法)
Practical minimum capital for banking credibility
¥1,000,000–¥5,000,000Companies Act (会社法)
Minimum capital for Business Manager visa
¥30,000,000Immigration Control and Refugee Recognition Act (入管法); Ministry of Justice Business Manager visa criteria
Corporate seal set cost
¥10,000–¥30,000Companies Act (会社法)
Registration tax (登録免許税) — KK
¥150,000 minimum (or 0.7% of capital if higher)Registration and License Tax Act (登録免許税法)
Registration tax (登録免許税) — GK
¥60,000 minimum (or 0.7% of capital if higher)Registration and License Tax Act (登録免許税法)
Hōjin Setsuritsu Todoke (法人設立届出書) — National Tax Agency deadline
Within 2 months of registrationCorporate Tax Act (法人税法)
Hōjin Setsuritsu Todoke — Prefectural tax office deadline
Within 15 days (varies by prefecture)Local Tax Act (地方税法)
Hōjin Setsuritsu Todoke — Municipal tax office deadline
Within 15 days (varies)Local Tax Act (地方税法)
Blue Return Filing (青色申告) election deadline
Within 3 months of incorporationCorporate Tax Act (法人税法)
Registration tax (登録免許税) — Branch Office
¥60,000Registration and License Tax Act (登録免許税法)
In-kind contribution inspection threshold — KK
Shikkin inspection required for KK with >¥5,000,000 in kindCompanies Act (会社法)
Corporate inhabitant tax — flat-rate component (均等割) minimum
¥70,000/year (even if no profit)Local Tax Act (地方税法)
Social insurance contributions — total rate (employer + employee)
~30% of gross salaryHealth Insurance Act (健康保険法); Employees' Pension Insurance Act (厚生年金保険法)
Social insurance contributions — employer share (approximate)
~15% of gross salaryHealth Insurance Act (健康保険法); Employees' Pension Insurance Act (厚生年金保険法)
Corporate tax return (法人税) filing deadline
Within 2 months of fiscal year-endCorporate Tax Act (法人税法)
Consumption tax return (消費税) filing deadline
Within 2 months of fiscal year-endConsumption Tax Act (消費税法)
Corporate inhabitant tax return filing deadline
Within 2 months of fiscal year-endLocal Tax Act (地方税法)
Withholding tax (源泉徴収) remittance deadline — standard
10th of the following monthIncome Tax Act (所得税法)
Withholding tax (源泉徴収) remittance — small companies (special semi-annual)
Semi-annualIncome Tax Act (所得税法)
Registry change (directors, address, capital) filing deadline
Within 2 weeks of any changeCommercial Registration Act (商業登記法)
Fine (科料) for late registry change
Up to ¥1,000,000Companies Act (会社法)
Requirement for Japan-resident representative director/member — KK/GK
No requirement since April 2015Companies Act (会社法)
Total government fees — KK
¥192,000–¥280,000Registration and License Tax Act (登録免許税法); Revenue Stamp Tax Act (印紙税法); Notary Act (公証人法)
Total government fees — GK
¥70,000–¥130,000Registration and License Tax Act (登録免許税法); Revenue Stamp Tax Act (印紙税法)
Total formation cost including professionals — KK
¥350,000–¥700,000Companies Act (会社法); Registration and License Tax Act (登録免許税法)
Total formation cost including professionals — GK
¥220,000–¥510,000Companies Act (会社法); Registration and License Tax Act (登録免許税法)
Quick Reference
| Field | Value |
|---|---|
| Country | Japan |
| Currency | JPY |
| Company registrar | Legal Affairs Bureau (法務局 / Hōmukyoku) |
| Key legislation | Companies Act (会社法); Commercial Registration Act (商業登記法) |
| Typical formation time | 1--3 weeks |
| Corporate tax rate | ~30--34% effective (national + local; varies by municipality and capital) |
| Skill version | 1.0 |
Entity Types Comparison
| Feature | Individual Business (個人事業主) | GK (合同会社 / Gōdō Kaisha) | KK (株式会社 / Kabushiki Kaisha) | Branch Office (支店) |
|---|---|---|---|---|
| Legal personality | No | Yes | Yes | No (extension of parent) |
| Liability | Unlimited | Limited | Limited | Parent bears liability |
| Min. founders | 1 | 1 | 1 | N/A |
| Min. capital | N/A | ¥1 (statutory) | ¥1 (statutory) | N/A |
| Governance | N/A | Flexible (member-managed) | Formal (board/directors/auditors) | Per parent company |
| Transferability | N/A | Requires all members' consent | Shares freely transferable (unless restricted) | N/A |
| Tax treatment | Personal income tax | Corporate tax | Corporate tax | Corporate tax on Japan-source income |
| Prestige/perception | Low | Medium (growing acceptance) | High (traditional corporate form) | Varies |
| Admin burden | Low | Medium | High | Medium |
Recommended default: GK for startups and cost-sensitive formations. KK for investor-facing businesses, B2B credibility, and future equity fundraising.
Capital Requirements
| Entity Type | Min. Capital | Paid-Up Timing | Registration Tax | In-Kind Contributions |
|---|---|---|---|---|
| GK | ¥1 | Before registration | ¥60,000 (or 0.7% of capital) | Permitted |
| KK | ¥1 | Before registration | ¥150,000 (or 0.7% of capital) | Permitted (shikkin inspection for KK with >¥5M in kind) |
| Branch Office | N/A | N/A | ¥60,000 | N/A |
Costs Breakdown
| Cost Component | KK (JPY) | GK (JPY) | Notes |
|---|---|---|---|
| Registration tax (登録免許税) | ¥150,000 | ¥60,000 | Minimum; 0.7% of capital if higher |
| Notary fee (定款認証) | ¥30,000--¥50,000 | ¥0 | KK only |
| Revenue stamp (紙定款) | ¥40,000 (paper) / ¥0 (electronic) | ¥40,000 / ¥0 | Save ¥40,000 with electronic filing |
| Corporate seal set | ¥10,000--¥30,000 | ¥10,000--¥30,000 | 3-seal set |
| Certified copies | ~¥2,000 | ~¥600 | |
| Total government fees | ¥192,000--¥280,000 | ¥70,000--¥130,000 | Electronic filing recommended |
| Judicial scrivener (司法書士) | ¥60,000--¥100,000 | ¥50,000--¥80,000 | Optional but recommended |
| Tax accountant setup | ¥100,000--¥300,000 | ¥100,000--¥300,000 | First-year bookkeeping and filings |
| Total with professionals | ¥350,000--¥700,000 | ¥220,000--¥510,000 |
Annual Maintenance
| Item | Cost (JPY) |
|---|---|
| Corporate inhabitant tax (均等割) | ¥70,000/year minimum (even if no profit) |
| Tax accountant (税理士) | ¥300,000--¥600,000/year |
| Social insurance contributions | ~30% of gross salary (employer share ~15%) |
| Annual financial statements | Included in tax accountant fees |
Post-Formation Compliance
| Obligation | Deadline | Authority |
|---|---|---|
| Corporate tax return (法人税) | Within 2 months of fiscal year-end | National Tax Agency (税務署) |
| Consumption tax return (消費税) | Within 2 months of fiscal year-end | Tax office |
| Corporate inhabitant tax | Within 2 months of fiscal year-end | Prefectural/municipal tax office |
| Withholding tax (源泉徴収) | 10th of following month (or semi-annual for small companies) | Tax office |
| Shakai Hoken reports | Monthly contributions; annual Santei Kiso Todoke | Japan Pension Service |
| Financial statements | File with tax return | Tax office |
| Touki (登記) changes | Within 2 weeks of any change (directors, address, capital) | Legal Affairs Bureau |
MUFG (三菱UFJ), SMBC (三井住友), Mizuho (みずほ) (megabanks); Resona, Shinsei (mid-tier); PayPay Bank, GMO Aozora Net Bank (digital)
Foreign Founder Considerations
| Question | Answer |
|---|---|
| Non-resident directors allowed? | KK requires a representative director; GK requires a representative member. Since April 2015, no requirement for a Japan-resident representative (but banks strongly prefer one) |
| Business Manager visa capital | ¥30,000,000 since October 2025 |
| Physical presence required? | Not for registration (power of attorney accepted); required for visa application |
| Registered office | Must be a physical address in Japan (virtual offices accepted for registration but not for visa) |
| Apostille requirements | Foreign documents require apostille + Japanese translation |
| Corporate seal registration | Mandatory for all companies; representative must register in person or via scrivener |
| Japan-resident bank account | Required for capital deposit; non-residents can use a trusted Japan-resident person's account |
Timeline
| Step | Duration | Cumulative |
|---|---|---|
| Decide KK vs GK; prepare articles | 2--5 days | Day 2--5 |
| Notarisation of articles (KK only) | 1--3 days | Day 3--8 |
| Prepare corporate seal | 3--7 days | Day 6--15 |
| Deposit capital | 1--2 days | Day 7--17 |
| File at Legal Affairs Bureau | 1 day | Day 8--18 |
| Registration complete (certificate available) | 1--2 weeks | Day 15--32 |
| Post-registration tax filings | 1--5 days | Day 16--37 |
| Open bank account | 2--8 weeks | Day 30--93 |
| Ready to trade | ~3--6 weeks (bank account is the bottleneck) |
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Other Japan computations in the OpenAccountants Tax Library.
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