🇯🇵 Japan
East Asia & Pacific · OECD member · ISORA participant · ITTI survey participant
Japan applies controlled foreign company rules and interest limitation rules on a statutory basis. The country does not implement citizenship-based taxation and provides only partial reporting for crypto-assets. In 2021, tax revenue accounted for 34.1% of the gross domestic product.Auto-generated summary of the verified data below; every fact traces to a source on this page.
34.1%
tax-to-GDP, general govt (2021, OECD)
7/11
enforcement powers assessed
Where the tax bite lands (2021)
Tax revenue by category, % of GDP, general government — OECD Revenue Statistics (Global).
Who collects it (2022)
| Level of government | % of GDP |
|---|---|
| Central government | 13.0% |
| State/regional government | 7.8% |
Tax-to-GDP over time
| 2000 | 2010 | 2019 | 2021 |
|---|---|---|---|
| 25.3% | 26.2% | 31.5% | 34.1% |
General government, OECD Revenue Statistics (Global).
Headline statutory rates
As stated in PwC Worldwide Tax Summaries’ territory overview (fetched 2026-08-20) — the wording is PwC’s; source.
| Tax | Headline rate as stated |
|---|---|
| Headline PIT rate | 45, plus 2.1% surtax. |
| Headline CIT rate | 23.2 |
| Standard VAT rate | Consumption tax: 10 |
| Headline individual capital gains tax rate | Gains arising from sale of stock are taxed at a total rate of 20.315% (15.315% for national tax purposes and 5% local tax). Gains arising from sale real property are taxed at a total rate of up to 39.63% (30.63% for national tax purposes and 9% local tax) depending on various factors. |
| Headline corporate capital gains tax rate | Capital gains are subject to the normal CIT rate. |
| WHT rates (%) (Dividends/Interest/Royalties) | Resident: 20 / 20 / 0; Non-resident: 15 / 20 / 20 |
| Headline net wealth/worth tax rate | NA |
| Headline inheritance tax rate | 55 |
| Headline gift tax rate | 55 NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement) NP stands for Not Provided (i.e. the information is not currently provided in this chart) |
Enforcement in numbers — as reported by the authority
Figures exactly as written in the authority’s own annual report or official release, each with its sentence. Definitions differ between authorities, so these are never ranked across countries.
Total revenue collected (FY2025): 115,197.8 billion yen — scope as stated in the sentence below
“National revenue (initial budget for general account revenues) for FY2025 stands at 115,197.8 billion yen, of which 77,819 billion yen is from taxes and stamp revenues.”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Compliance yield / amounts recovered (FY2024): about 40.5 billion yen — scope as stated in the sentence below
“As a result, we conducted 6,335 field examinations targeting the individuals and corporations that had applied for refunds of consumption tax, in the period between July 2023 and June 2024; and we secured additional tax collection of about 40.5 billion yen.”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Audits / examinations completed (FY2024): 6,335 — scope as stated in the sentence below
“As a result, we conducted 6,335 field examinations targeting the individuals and corporations that had applied for refunds of consumption tax, in the period between July 2023 and June 2024”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Audit staff (FTE) (FY2025): 56,018 persons — scope as stated in the sentence below
“Also, the authorized capacity for manpower of the NTA is 56,018 persons for FY2025.”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Criminal investigations opened (FY2025): 17 — scope as stated in the sentence below
“During the period between April 2024 and March 2025, the NTA accused 17 fraud request cases for refund”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Prosecutions (FY2025): 17 — scope as stated in the sentence below
“During the period between April 2024 and March 2025, the NTA accused 17 fraud request cases for refund”
Source: National Tax Agency Report 2025 (English)Official source · quote machine-verified 2026-08-22
Enforcement powers
Social media & open-web monitoring Not yet assessed
Not yet assessed — no claim made.
AI & machine-learning risk scoring Yes — documented practice
Self-reported in the OECD Inventory of Tax Technology Initiatives (2024 Global Survey on Digitalisation).
“Survey question "Administration uses artificial intelligence" — answer: Yes”
Source: OECD Inventory of Tax Technology InitiativesOECD / IMF survey data · derived from the administration’s own survey answer
Automated bulk data matching No — power absent
Self-reported to ISORA (International Survey on Revenue Administration), FY2022.
“ISORA indicator "Administration undertakes fully automated compliance checks based on data matching/analysis" — value: No”
Source: IMF ISORA — International Survey on Revenue AdministrationOECD / IMF survey data · derived from the administration’s own survey answer
Digital platform reporting Not yet assessed
Not yet assessed — no claim made.
Crypto-asset reporting Partial / committed
Japan is a signatory to the November 2023 CARF joint statement, committing to crypto-asset reporting with exchanges commencing by 2027.
“we therefore intend to work towards swiftly transposing the CARF into domestic law and activating exchange agreements in time for exchanges to commence by 2027”
Source: Joint statement — Collective engagement to implement the Crypto-Asset Reporting FrameworkOfficial source · quote machine-verified 2026-08-25
Exit tax on individuals Not yet assessed
Not yet assessed — no claim made.
Citizenship-based taxation No — power absent
Japan taxes by residence category (permanent / non-permanent resident / non-resident), not citizenship.
“Non-permanent resident taxpayers are taxed on Japan-sourced income and foreign-source income only to the extent that it is paid in Japan or remitted to Japan.”
Source: PwC Worldwide Tax Summaries — JapanProfessional / legal analysis · quote machine-verified 2026-08-25
Controlled foreign company (CFC) rules Yes — statutory power
Recorded in the OECD Corporate Tax Statistics anti-avoidance rules dataset (2026).
“OECD Corporate Tax Statistics: "Is there a controlled foreign company rule in place? · Not applicable" — Yes”
Source: OECD Corporate Tax StatisticsOECD / IMF survey data · derived from the administration’s own survey answer
Interest limitation rules Yes — statutory power
Recorded in the OECD Corporate Tax Statistics anti-avoidance rules dataset (2026).
“OECD Corporate Tax Statistics: "Is there an interest limitation rule in place? · Regime 2" — Yes”
Source: OECD Corporate Tax StatisticsOECD / IMF survey data · derived from the administration’s own survey answer
Country-by-country reporting Not yet assessed
Not yet assessed — no claim made.
Public naming of non-compliant taxpayers No — power absent
Self-reported to ISORA (International Survey on Revenue Administration), FY2022.
“ISORA indicator "Administration is empowered to make public details of some / all taxpayers subject to administrative penalties imposed for non-disclosure" — value: No”
Source: IMF ISORA — International Survey on Revenue AdministrationOECD / IMF survey data · derived from the administration’s own survey answer
Anti-avoidance regime detail (OECD Corporate Tax Statistics)
OECD-curated descriptions of this jurisdiction’s CFC, interest-limitation, CbCR and IP-regime rules.
CFC rules — 13 data points
| Is there a controlled foreign company rule in place? · Regime 1 | Yes |
| Is there a controlled foreign company rule in place? · Not applicable | Yes |
| Controlled foreign company rule · Regime 1 | Greater than 50% of direct or indirect ownership in ordinary shares, voting rights or right to demand distributions. De facto control relationship. |
| Controlled foreign company rule · Not applicable | Under Japan’s CFC tax system, a “foreign subsidiary” (CFC) refers to a foreign corporation that is classified as a “foreign affiliated company” and meets certain conditions, thereby becoming subject to consolidated taxation. Furthermore, the control tests consist of the following two criteria: ・Equity Interest Threshold ・Joint Control Threshold Furthermore, once a company qualifies as a “forei… |
| Significant controlled foreign company exemption and exclusion requirements · Regime 1 | 1 Exemption for the full inclusion (1) Specified CFCs (i.e. Cash Box, Paper Company and Black-List Company) : effective tax rate of a CFC greater than or equal to 30% (2) Other CFCs : effective tax rate of a CFC greater than or equal to 20% 2 Exemption for the passive income inclusion (1) Effective tax rate of a CFC greater than or equal to 20% (2) Either passive income less than or equal to JPY 2… |
| Significant controlled foreign company exemption and exclusion requirements · Not applicable | Other exemption or exclusion criteria are as follows: ① Exemption based on tax burden ratio ・20% or more (in principle) ・27% or more (for specified foreign affiliated companies) ② Exemption based on the de minimis standard ・Taxable amount of 20 million yen or ・Taxable amount of 5% or less of the foreign affiliate’s income ③ Not qualifying as a foreign affiliate due to control or owne… |
| Controlled foreign company income · Not applicable | The Japanese CFC rule consists of two approaches in general. One is the full inclusion and the other is the passive income inclusion (i.e the partial inclusion). The passive income consists of the following 12 types of income : (1) dividends, (2) interest, (3) securities-lending fees, (4) capital gains/losses derived from transfer of securities, (5) profits/losses derived from derivative transacti… |
| Substantial activity requirements description · Not applicable | With respect to the substantial requirements, we have the concept of the Specified CFCs and the Economic Activity Tests as described below. 1. Specified CFCs The basic idea of the Specified CFCs is that a CFC having no substance and apparently earning only passive income is generally subject to the CFC rules. The Specified CFCs consists of following 3 types of CFC. (1) Paper company A Paper comp… |
| Substantial activity requirements · Regime 1 | Yes, we have the Economic Activity Tests. |
| Substantial activity requirements · Not applicable | Yes |
| Trigger rate for controlled foreign company rule · Not applicable | There are 2 fixed trigger rates for applying Japanese CFC rules as follows. Specified CFCs with ETR of 27% or more are exempted from the CFC rule. CFCs (other than Specified CFCs) with ETR of 20% or more are exempted from the CFC rule and administrative burden of classifying active/passive income. |
| Year of introduction of the controlled foreign company rule · Regime 1 | 1978 |
| Year of introduction of the controlled foreign company rule · Not applicable | 1978 (Revision in response to BEPS Action 3: 2017) |
Interest limitation — 72 data points
| Number of years allowed under carry forward/back. · Regime 1 | Carry -forward of 7 years (10 years for fiscal years beginning between April 1, 2022, and March 31, 2025) |
| Number of years allowed under carry forward/back. · Rule 1 | Carry -forward of 7 years (10 years for fiscal years beginning between April 1, 2022, and March 31, 2025) |
| Do any loss carry-back or carry-forward provisions apply? · Regime 1 | Yes |
| Do any loss carry-back or carry-forward provisions apply? · Regime 2 | No |
| Do any loss carry-back or carry-forward provisions apply? · Rule 1 | Yes |
| Do any loss carry-back or carry-forward provisions apply? · Rule 2 | No |
| Is a de minimis threshold present? · Regime 1 | Net interest expense in a fiscal year is JPY 20 million or less |
| Is a de minimis threshold present? · Regime 2 | None |
| Is a de minimis threshold present? · Rule 1 | Net interest expense in a fiscal year is JPY 20 million or less |
| Is a de minimis threshold present? · Rule 2 | None |
| Any other exclusions? · Regime 1 | No |
| Any other exclusions? · Regime 2 | Yes |
| Any other exclusions? · Rule 1 | No |
| Any other exclusions? · Rule 2 | Yes |
| Exclusions based on payer characteristics? · Regime 1 | No |
| Exclusions based on payer characteristics? · Regime 2 | No |
| Exclusions based on payer characteristics? · Rule 1 | No |
| Exclusions based on payer characteristics? · Rule 2 | No |
| Exclusions based on payment characteristics? · Regime 1 | Yes |
| Exclusions based on payment characteristics? · Regime 2 | Yes |
| Exclusions based on payment characteristics? · Rule 1 | Yes |
| Exclusions based on payment characteristics? · Rule 2 | Yes |
| Exclusions based on recipient characteristics? · Regime 1 | Yes |
| Exclusions based on recipient characteristics? · Regime 2 | Yes |
| Exclusions based on recipient characteristics? · Rule 1 | Yes |
| Exclusions based on recipient characteristics? · Rule 2 | Yes |
| Financial accounting measure applied to rule · Regime 1 | Interest-to-EBITDA |
| Financial accounting measure applied to rule · Regime 2 | Debt-to-equity |
| Financial accounting measure applied to rule · Rule 1 | Interest-to-EBITDA |
| Financial accounting measure applied to rule · Rule 2 | Debt-to-equity |
| Is there a group ratio rule or similar type of rule in place? · Regime 1 | No |
| Is there a group ratio rule or similar type of rule in place? · Regime 2 | No |
| Is there a group ratio rule or similar type of rule in place? · Rule 1 | No |
| Is there a group ratio rule or similar type of rule in place? · Rule 2 | No |
| Is there an interest limitation rule in place? · Regime 1 | Yes |
| Is there an interest limitation rule in place? · Regime 2 | Yes |
| Is there an interest limitation rule in place? · Rule 1 | Yes |
| Is there an interest limitation rule in place? · Rule 2 | Yes |
| Can interest be recharacterised as a dividend? · Regime 1 | No |
| Can interest be recharacterised as a dividend? · Regime 2 | No |
| Can interest be recharacterised as a dividend? · Rule 1 | No |
| Can interest be recharacterised as a dividend? · Rule 2 | No |
| Is the rule is applicable to net or gross interest expensing? · Regime 1 | Net interest expense |
| Is the rule is applicable to net or gross interest expensing? · Regime 2 | Gross interest expense |
| Is the rule is applicable to net or gross interest expensing? · Rule 1 | Net interest expense |
| Is the rule is applicable to net or gross interest expensing? · Rule 2 | Gross interest expense |
| Is the rule applicable to related party debt? · Regime 1 | Yes |
| Is the rule applicable to related party debt? · Regime 2 | Yes |
| Is the rule applicable to related party debt? · Rule 1 | Yes |
| Is the rule applicable to related party debt? · Rule 2 | Yes |
| Description of interest limitation rule · Regime 1 | Earning stripping rule 20% of EBITDA |
| Description of interest limitation rule · Regime 2 | Thin capitalisation rule: Debt/Equity ratio 3:1 |
| Description of interest limitation rule · Rule 1 | Earning stripping rule 20% of EBITDA |
| Description of interest limitation rule · Rule 2 | Thin capitalisation rule: Debt/Equity ratio 3:1 |
| Type of interest limitation rule · Regime 1 | Earning stripping |
| Type of interest limitation rule · Regime 2 | Thin capitalisation |
| Type of interest limitation rule · Rule 1 | Earning stripping |
| Type of interest limitation rule · Rule 2 | Thin capitalisation |
| Financial ratio referenced · Regime 1 | 0.2 |
| Financial ratio referenced · Regime 2 | 0.12569444444444444 |
| Financial ratio referenced · Rule 1 | 20% |
| Financial ratio referenced · Rule 2 | 3:1 |
| Is the rule is applicable to third party debt? · Regime 1 | Yes |
| Is the rule is applicable to third party debt? · Regime 2 | No |
| Is the rule is applicable to third party debt? · Rule 1 | Yes |
| Is the rule is applicable to third party debt? · Rule 2 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Regime 1 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Regime 2 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Rule 1 | No |
| Are there targeted rules to address specific risks not addressed by the general rule? · Rule 2 | No |
| Year of introduction of the interest limitation rule · Rule 1 | 2013 |
| Year of introduction of the interest limitation rule · Rule 2 | 1992 |
Country-by-country reporting — 5 data points
| Is there a country-by-country reporting law in place? | Yes |
| Further information | Voluntary parent surrogate filing is or was available for earlier fiscal years. |
| Deadline by which filings must be submitted | 12 months |
| Reports are required for MNEs with annual revenues above | JPY 100 billion |
| Headquarter jurisidiction filing required from | 01-Apr-16 |
Effective corporate tax rates
| Measure | Year | Rate |
|---|---|---|
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 25.1% |
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 11.6% |
| Capital allowances · Percentage of initial investment · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 24.5% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 26.5% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 15.0% |
| Capital allowances · Percentage of initial investment · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 25.9% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 31.6% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 28.5% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 28.4% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 27.6% |
| Effective average tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 26.6% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 30.3% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 28.4% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 28.4% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 27.8% |
| Effective average tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 26.9% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 56.8% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 32.9% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 31.4% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 25.5% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 17.7% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 47.8% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 29.3% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 29.6% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 24.3% |
| Effective marginal tax rate · Percentage of taxable income · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 15.3% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Acquired software · Not applicable | 2025 | 5.6% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Composite · Not applicable | 2025 | 4.8% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Inventories · Not applicable | 2025 | 4.7% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Buildings · Not applicable | 2025 | 4.5% |
| Cost of capital · Percentage of investment · Baseline · Country-specific interest and inflation rates · Tangibles · Not applicable | 2025 | 4.2% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Acquired software · Not applicable | 2025 | 4.4% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Composite · Not applicable | 2025 | 3.9% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Inventories · Not applicable | 2025 | 3.9% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Buildings · Not applicable | 2025 | 3.7% |
| Cost of capital · Percentage of investment · Baseline · Fixed interest and inflation rates · Tangibles · Not applicable | 2025 | 3.5% |
OECD Corporate Tax Statistics, baseline scenario.
Administration self-reported metrics (ISORA)
Reported by the administration itself to the IMF/OECD/CIAT/IOTA International Survey on Revenue Administration. 1 = yes, 0 = no for policy questions.
| Indicator | Year | Value |
|---|---|---|
| Percentage of tax returns - Electronic, not prefilled - CIT | 2024 | 86.21297315836026 |
| Percentage of tax returns - Electronic, not prefilled - PIT | 2024 | 69.32655949002904 |
| Percentage of tax returns - Electronic, not prefilled - VAT | 2024 | 81.04037354167677 |
| Population per FTE | 2024 | 2214.439064035009 |
| Labor force per FTE | 2024 | 1239.297829775833 |
| Corporate taxpayers per FTE in LTO/P | 2024 | 15.4639175257732 |
| Active taxpayers on PIT register as percentage of Population | 2024 | 18.74807860022456 |
| Active taxpayers on PIT register as percentage of Labor Force | 2024 | 33.50000026663942 |
| Closing stock of collectable arrears as percentage of closing stock of arrears | 2024 | 92.29662193628508 |
| CIT arrears as percentage of CIT collected | 2024 | 0.7776810181899619 |
| PIT arrears as percentage of PIT collected | 2024 | 1.215823347408694 |
| PAYE arrears as percentage of PIT collected | 2024 | 0.5141033921210657 |
| VAT arrears as percentage of VAT collected | 2024 | 1.550346507922547 |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - CIT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - CIT | 2021 | 0 |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - CIT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - PIT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - PIT | 2021 | 0 |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - PIT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled deemed acceptance - VAT | 2021 | 0 |
| Percentage of tax returns - Electronic, fully pre-filled confirmation required - VAT | 2021 | 0 |
| Percentage of tax returns - Electronic, partially pre-filled with income and/or expense information - VAT | 2021 | 0 |
| Additional assessments raised through all audits and verification actions as percentage of tax collections | 2024 | 0.8110371715556376 |
| Audit hit rate | 2024 | 63.94474080153194 |
| Percentage of tax returns - Electronic, not prefilled - PAYE | 2024 | — |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, not modified by taxpayer - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - PIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - PIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - PAYE | 2024 | — |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - PAYE | 2024 | — |
| Percentage of tax returns - Electronic, prefilled, modified by taxpayer - VAT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled not modified by taxpayer - VAT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - CIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - PIT | 2024 | 0 |
| Percentage of tax returns - Electronic, prefilled Total - PAYE | 2024 | — |
| Percentage of tax returns - Electronic, prefilled Total - VAT | 2024 | 0 |
| Availability of specific powers in legislation / regulation to assist in collecting tax arrears | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Common administrative penalty framework for non-disclosure across the major tax types | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Penalties imposed generally take account of taxpayers' culpability (i.e. degree of blame) | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Administration is empowered to remit / reduce penalties in appropriate circumstances | 2022 | 1 |
| Administrative sanctions for taxpayer non-disclosure - Administration is empowered to make public details of some / all taxpayers subject to administrative penalties imposed for non-disclosure | 2022 | 0 |
| On-time filing rate % - CIT | 2024 | — |
| On-time filing rate % - PIT | 2024 | — |
| On-time filing rate % - VAT | 2024 | — |
| On-time filing rate % - PAYE | 2024 | — |
| Administration pre-fills PIT returns or assessments | 2024 | 0 |
| Administration conducts random audits | 2022 | 1 |
| E-filing mandatory - CIT | 2022 | 0 |
| E-filing mandatory - PIT | 2022 | 0 |
| E-filing mandatory - Employer Withholdings | 2022 | 0 |
| E-filing mandatory - VAT | 2022 | 0 |
| E-payment mandatory - CIT | 2022 | 0 |
| E-payment mandatory - PIT | 2022 | 0 |
| E-payment mandatory - Employer Withholdings | 2022 | 0 |
| E-payment mandatory - VAT | 2022 | 0 |
| Employers withholding taxes on behalf of salaried employees | 2024 | 1 |
| Percentage of payments received electronically-By number of payments | 2024 | 39 |
| Percentage of payments received electronically-By value of payments | 2024 | 43 |
| Cooperative compliance approach exists for -Large taxpayers | 2024 | 1 |
| Cooperative compliance approach exists for -HNWI taxpayers | 2024 | 0 |
| Cooperative compliance approach exists for -Other taxpayers | 2024 | 0 |
| Most employees that have tax deducted through direct withholding required to file a return | 2024 | 0 |
| Administration receives data from devices that register transactions | 2024 | 0 |
| Administration uses electronic compliance checks as part of returns filing process | 2024 | 0 |
| Administration has specialized audit staff for international tax issues | 2022 | 1 |
| Administration has systems for importing, storing and managing third-party data - Customs data | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from stock exchanges | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from the Social Security Agency | 2022 | 1 |
| Administration has systems for importing, storing and managing third-party data - Data from online (internet-based) vendors | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data from Utilities | 2022 | 0 |
| Administration checks the quality of data reported by third parties on a systematic basis | 2022 | 0 |
| Administration has systems for importing, storing and managing third-party data - Data on property ownership and sales | 2022 | 1 |
| Administration undertakes fully automated compliance checks based on data matching/analysis | 2022 | 0 |
| Administration measures the effectiveness of any compliance interventions undertaken | 2022 | 1 |
| Administration has standards for auditor productivity | 2022 | 0 |
Tax technology survey answers (OECD ITTI)
| Question | Answer |
|---|---|
| Administration requires individuals to use an approved digital identity to access secure digital services | Yes |
| Administration requires businesses to use an approved digital identity to access secure digital services | Yes |
| Administration automatically prefills personal income tax returns with data that it has collected | No |
| Administration automatically prefills corporate income tax returns with data that it has collected | No |
| Administration automatically prefills value added tax returns with data that it has collected | No |
| Approved digital identity offered by the administration for businesses can also be used to access secure digital services from another government body | No |
| Approved digital identity offered by the administration for businesses can also be used to access secure digital services from a private sector body | No |
| Approved digital identity offered by the administration for individuals can also be used to access secure digital services from another government body | No |
| Approved digital identity offered by the administration for individuals can also be used to access secure digital services from a private sector body | No |
| Estimated percentage of the individual taxpayer population that uses an approved digital identity to access secure digital services offered by the administration | 81-100% |
| Estimated percentage of the business taxpayer population that uses an approved digital identity to access secure digital services offered by the administration | 81-100% |
| Administration has a comprehensive data management strategy | Yes |
| Administration assesses data quality of reported data | Yes |
| Administration has in place a data ethics framework | Yes |
| Administration controls user data access and security | Yes |
| Administration automatically detects unauthorised access | Yes |
| Administration employs a Data Privacy Officer | No |
| Administration has a cyber security unit | Yes |
| Administration hires external parties to test the security of its systems | Yes |
| Administration uses artificial intelligence as part of the data governance process | No |
| Administration has big data capabilities with the necessary people, skills and infrastructure | Yes |
| Administration uses an enterprise-wide Business Intelligence and Visualisation tool | Yes |
| Administration uses analytics for real-time tax fraud detection and prevention | No |
| Underlying digital identity solution for individuals is built upon an existing domestic identity system or completely new | Existing domestic identity system |
| Underlying digital identity solution for businesses is built upon an existing domestic identity system or completely new | Existing domestic identity system |
| Cloud storage | No |
| Robotic process automation | No |
| Artificial intelligence | No |
| Machine learning | No |
| Network analysis | No |
| DataOps approach | No |
| Automated provision of personalised information to stakeholders | No |
| Virtual assistants | Yes |
| Risk assessment processes | No |
| Detection of tax evasion and fraud | Yes |
| Assistance of tax officials in making administrative decisions | No |
| Making recommendations for actions | Yes |
| Making of final administrative decisions | No |
| Dispute resolution | No |
| To ensure the integrity of tax administration systems / processes | No |
| Other use cases | No |
| Administration reviews artificial intelligence source code | Yes |
| Administration reviews artificial intelligence input information | Yes |
| Administration probes and tests artificial intelligence responses | Yes |
| Administration monitors artificial intelligence outputs | Yes |
| Administration takes other approaches | No |
| Third party reviews artificial intelligence source code | No |
| Third party reviews artificial intelligence input information | No |
| Third party probes and tests artificial intelligence responses | No |
| Third party monitors artificial intelligence outputs | No |
| Third party takes other approaches | No |
| Industry, international or other framework was adopted for the development of the digital identity solution for individuals | No |
| Industry, international or other framework was adopted for the development of the digital identity solution for businesses | No |
| Digital identity solution for individuals can connect with foreign identity systems | No |
| Digital identity solution for businesses can connect with foreign identity systems | No |
| Digital identity for individuals created automatically or on request | On request |
| Digital identity for businesses created automatically or on request | On request |
| Meeting needed to finalise the process of receiving a digital identity for individuals | No |
| Meeting needed to finalise the process of receiving a digital identity for businesses | No |
| Individuals without ID-documents or birth certificates can receive a digital identity for the use of tax purpose | Yes, via specific tax administration services |
| Authentication method applied to verify the digital identity when used online | Yes |
| Use of emerging and innovative technologies or solutions with respect to the main digital identity used by taxpayers | No |
| Administration offers online service for registering for tax (CIT) | Yes |
| Administration offers online service for registering for tax (PIT) | Yes |
| Administration offers online service for registering for tax (VAT) | Yes |
| Administration offers online service for filing tax returns (CIT) | Yes |
| Administration offers online service for filing tax returns (PIT) | Yes |
| Administration offers online service for filing tax returns (VAT) | Yes |
| Administration offers online service for making tax payments (CIT) | Yes |
| Administration offers online service for making tax payments (PIT) | Yes |
| Administration offers online service for making tax payments (VAT) | Yes |
| Administration offers online service for requesting extensions of deadlines (filing and payment) (CIT) | Yes |
| Administration offers online service for requesting extensions of deadlines (filing and payment) (PIT) | Yes |
| Administration offers online service for requesting extensions of deadlines (filing and payment) (VAT) | Yes |
| Administration offers online service for asking for tax payment arrangements (CIT) | Yes |
| Administration offers online service for asking for tax payment arrangements (PIT) | Yes |
| Administration offers online service for asking for tax payment arrangements (VAT) | Yes |
| Administration offers online service for asking confidential enquiries in a secure environment (CIT) | No |
| Administration offers online service for asking confidential enquiries in a secure environment (PIT) | No |
| Administration offers online service for asking confidential enquiries in a secure environment (VAT) | No |
| Administration offers online service for filing tax related objections (CIT) | Yes |
| Administration offers online service for filing tax related objections (PIT) | Yes |
| Administration offers online service for filing tax related objections (VAT) | Yes |
| Administration offers online service for dealing with correspondence (CIT) | Yes |
| Administration offers online service for dealing with correspondence (PIT) | Yes |
| Administration offers online service for dealing with correspondence (VAT) | Yes |
| Administration offers online service for uploading data into the tax administration's system (CIT) | Yes |
| Administration offers online service for uploading data into the tax administration's system (PIT) | Yes |
| Administration offers online service for uploading data into the tax administration's system (VAT) | Yes |
| Administration offers specific approaches to those that do not have online access | Yes |
| Administration offers facility for taxpayers to interact with virtual assistants, such as chatbots | Yes |
| Administration uses artificial intelligence during interactions with taxpayers (other than virtual assistants) | No |
| Administration offers services that follow a set of pre-programmed and automated service responses during interactions with taxpayers (other than virtual assistants) | No |
| Administration makes a library of APIs publicly available for third party use | Yes |
| Administration has an enterprise data management (governance) system that allows taxpayer information be viewed across the administration | Yes |
| Administration uses big data for analytical purposes | Yes |
| Administration uses artificial intelligence / machine learning as part of the big data analysis | Yes |
| Administration uses artificial intelligence | Yes |
| Limitations exist on the use of artificial intelligence | Yes |
| Administration has an ethical framework for the application of artifical intelligence | Yes |
| Administration uses Distributed Ledger Technology, e.g. blockchain, in its taxation processes | No |
| Mobile app | Yes |
| Virtual assistant(s) uses artificial intelligence to personalise interactions with taxpayers | Yes |
| Use of big data to: Improve compliance | Yes |