Is withholding tax required when buying Japanese real estate from a non-resident?

Last verified: August 31, 2026

Answer

When consideration for Japanese land or buildings is paid to a non-resident or foreign corporation, the payer generally withholds 10.21%. An individual buyer is exempt under the stated rule when the property is acquired for the residence of the buyer or a relative and the consideration is JPY 100 million or less.

Practical checks

• Confirm the seller’s Japanese tax-residence status.
• Check whether the residence/JPN 100 million exception applies.
• Confirm settlement, remittance and filing procedures before payment.

General information only; individual tax advice is outside the scope of this article.

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