East Asia's two developed market democracies with contrasting investment profiles. Japan has negative real interest rates, cheap property outside Tokyo, and a startup visa; South Korea has the world's fastest internet, a booming K-content industry, and Jeju Island's visa-free investment zone. Both have 20%+ CGT but strong rule of law.

Disclaimer: Tax rates, investment rules, and visa programs change frequently. The data below is for informational purposes only — always verify with official sources and consult qualified professionals. Read full disclaimer

Investment Overview

Metric	🇯🇵 Japan	🇰🇷 South Korea
Capital Gains Tax	20.3%	22%
Property Access	Foreigners OK	Foreigners OK
Investment Visa	None specific	None specific
Monthly Budget	¥250,000–¥370,000	from $2,000
Crypto Regulation	Evolving	Evolving

Capital Gains Tax

🇯🇵 Japan

20.3%

Capital Gains Tax

🇰🇷 South Korea

22%

Capital Gains Tax

Japan has the tax advantage with 20.3% capital gains tax vs 22%. Your effective rate may differ based on holding periods, asset type, and treaty benefits.

Property Investment

🇯🇵 Japan

Foreigners OK

Freehold ownership

🇰🇷 South Korea

Foreigners OK

Freehold ownership

Investment Visa Programs

🇯🇵 Japan

None specific

🇰🇷 South Korea

None specific

Key Investment Insights

🇯🇵 Japan

Capital gains tax: 20.3% — plan your investment strategy around holding periods and tax-advantaged accounts
Foreigners can buy freehold property — same ownership rights as citizens in most cases
Local stock exchange: Tokyo Stock Exchange — access to domestic equities, bonds, and ETFs
Capital gains tax: 20.3%

Full investing guide

🇰🇷 South Korea

Capital gains tax: 22% — plan your investment strategy around holding periods and tax-advantaged accounts
Golden Visa / Investment Visa: minimum ₩500M property — ~$370K; Jeju-only
Local stock exchange: KRX (Seoul) — access to domestic equities, bonds, and ETFs
Capital gains tax: 22%

Full investing guide

Japan vs South Korea Investing — FAQ

Which has lower capital gains tax — Japan or South Korea?

Japan has lower capital gains tax at 20.3%, compared to 22% in South Korea. Consider holding periods and treaty benefits that may further reduce your effective rate.

Can foreigners buy property in Japan and South Korea?

In Japan, property access for foreigners is: Foreigners OK (Freehold ownership). In South Korea: Foreigners OK (Freehold ownership). Always use a local lawyer for property transactions.

Does Japan or South Korea have a golden visa program?

Japan: None specific. South Korea: None specific. Golden visa programs can change frequently — verify current requirements before committing capital.

Which is cheaper for expats — Japan or South Korea?

Japan is more affordable with an estimated monthly budget of ¥250,000–¥370,000, compared to from $2,000 in South Korea.

Which is better for crypto investors — Japan or South Korea?

Crypto regulation in Japan: Evolving. In South Korea: Evolving. Capital gains tax (which typically applies to crypto) is 20.3% in Japan and 22% in South Korea. Crypto-specific rules are evolving rapidly in both jurisdictions.

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🇯🇵 Japan Investing Guide 🇰🇷 South Korea Investing Guide All comparisons