Japan and the US structure estate tax very differently — Japan taxes most estates at some level, while the US 2026 federal exemption of $15 million per individual means most people owe nothing. Enter values on each side to see estimates for both.
Japan vs US Estate Tax Calculator
Estimate estate tax under Japan’s and the US federal system side by side
Japan side
Basic deduction = ¥30M + ¥6M × number of statutory heirs. Assumes an equal split among heirs.
US side
2026 federal exemption is $15,000,000 per individual.
* Simplified estimates. Japan’s spousal tax reduction and actual (non-equal) inheritance shares aren’t modeled. The US side is federal only — some states levy their own estate or inheritance tax, and married couples may combine exemptions via portability, which isn’t modeled here.
How to Use
- Under Japan side, enter the estate value in yen and the number of statutory heirs.
- Under US side, enter the estate value in dollars and any lifetime gift exemption already used.
- Click Calculate to see each country's taxable base and estimated tax, independently.
How the calculation works
Japan’s basic deduction is ¥30 million plus ¥6 million per statutory heir; the remainder is assumed split equally among heirs and taxed using Japan’s 8-bracket progressive schedule (10%–55%), then summed. The US federal system exempts the first $15 million per individual (2026) and taxes the excess at a flat 40%.
For Japan’s "temporary resident" exception that can exclude foreign assets entirely, see Japan’s Inheritance Tax ‘Temporary Resident’ Rule.
Frequently Asked Questions
Q. Why is the US estate tax usually $0 for most people?
A. The 2026 federal exemption is $15 million per individual (effectively $30 million for a married couple using portability), so only very large estates owe any federal estate tax at all.
Q. Does Japan tax foreign assets held by a foreign resident?
A. Not always — Japan's 'temporary resident' exception can exclude foreign-located assets from Japanese inheritance tax if the decedent held a status of residence and lived in Japan 10 years or less within the 15 years before the inheritance.
Q. Do US states add their own estate tax?
A. Some states do levy their own estate or inheritance tax with much lower exemptions than the federal one — this calculator estimates federal tax only.
Key Takeaways
- Japan: basic deduction ¥30M + ¥6M per statutory heir, then 10–55% progressive rates.
- US federal: $15M exemption per individual (2026), 40% flat rate above that.
- Spousal reductions, portability, and state-level estate taxes aren't modeled here.