๐Ÿ‡ญ๐Ÿ‡ฐ Hong Kong vs ๐Ÿ‡ฏ๐Ÿ‡ต Japan

Complete Tax Residency Comparison for Digital Nomads & Entrepreneurs

Quick Comparison

Factor๐Ÿ‡ญ๐Ÿ‡ฐ Hong Kong๐Ÿ‡ฏ๐Ÿ‡ต Japan
Tax SystemTerritorialNon-Permanent Resident
Income Tax (Foreign)0-17%5-45%
Capital Gains Tax0%0% (foreign, NPR)
Corporate Tax16.5%23-30%
Residency RequirementInvestment or employmentVarious visas
Minimum Stay180 days recommendedNPR status first 5 years
Cost of LivingVery High ($4,000-7,000/mo)High ($2,500-4,500/mo)

๐Ÿ‡ญ๐Ÿ‡ฐ Hong Kong

Highlights

  • โœ…Zero capital gains
  • โœ…Low income tax
  • โœ…Global finance hub
  • โœ…Gateway to China
  • โœ…Common law system

Considerations

  • โš ๏ธPolitical uncertainty
  • โš ๏ธExpensive property
  • โš ๏ธCrowded

Best For

  • ๐Ÿ‘คChina business
  • ๐Ÿ‘คFinance
  • ๐Ÿ‘คEntrepreneurs

๐Ÿ‡ฏ๐Ÿ‡ต Japan

Highlights

  • โœ…NPR regime excludes foreign gains
  • โœ…Amazing culture
  • โœ…Safe country
  • โœ…Great infrastructure
  • โœ…Digital nomad visa coming

Considerations

  • โš ๏ธHigh taxes after NPR ends
  • โš ๏ธLanguage barrier
  • โš ๏ธComplex bureaucracy

Best For

  • ๐Ÿ‘คCulture enthusiasts
  • ๐Ÿ‘คFirst 5 years tax planning

Which Should You Choose?

Choose Hong Kong if: You prioritize zero capital gains and low income tax. Ideal for china business, finance, entrepreneurs.

Choose Japan if: You prioritize npr regime excludes foreign gains and amazing culture. Ideal for culture enthusiasts, first 5 years tax planning.

Not Sure Which is Right for You?

Take our free eligibility assessment to see which tax residency program fits your situation.