Japan Compliance

Japanese inheritance law has long included a system known as kiyobun (寄与分), or "contributory portion," which allows an heir who made significant personal or financial contributions to the maintenance or increase of a deceased person's assets to receive an enhanced share of the estate. However, this

Japan's statutory reserved portion, known as iryūbun (遺留分), ensures that certain close family members receive a minimum share of a deceased person's estate, even if a will or lifetime gifts suggest otherwise. A significant recent reform, effective for inheritances commencing on or after July 1, 2019,

Japanese inheritance law, like that of many civil law jurisdictions, incorporates a vital concept known as iryūbun (遺留分), or the "statutory reserved portion." This legal principle guarantees certain close heirs a minimum share of the deceased's estate, regardless of contrary provisions in a will or the

The period immediately following the death of a spouse is often one of immense emotional distress and practical upheaval. Amidst grieving and managing urgent affairs, the question of housing security can become a significant concern for the surviving partner. Recognizing this vulnerability, Japanese inheritance law, through reforms effective from April

Japan's introduction of the "Spousal Right of Residence" (配偶者居住権 - haigūsha kyojūken) has provided a significant new avenue for surviving spouses to secure their housing in the marital home after their partner's passing. This right allows them to continue living in the property, typically

The question of how a surviving spouse can maintain their residence in the family home following the death of their partner is a deeply personal and often complex issue in estate matters. In Japan, particularly with its aging population, ensuring housing security for elderly surviving spouses has become an increasingly

The role of a will executor (遺言執行者 - igon shikkōsha) in Japan is pivotal in ensuring that a deceased person's testamentary wishes are accurately and legally carried out. Recent amendments to Japan's Civil Code have brought greater clarity and, in some instances, expanded the authority of

For individuals undertaking estate planning in Japan, several methods of creating a legally valid will have traditionally been available. Among these, the holographic will (自筆証書遺言 - jihitsu shōsho igon), entirely handwritten by the testator, has been recognized for its simplicity and privacy. However, this form of will also came with

When an individual passes away in Japan, their assets, including bank deposits, typically become part of their estate. While the ultimate distribution of these assets is determined through the estate division process (遺産分割 - isan bunkatsu), heirs often face immediate financial needs for funeral expenses, outstanding debts of the deceased,

Ensuring the housing security of a surviving spouse is a significant concern in any jurisdiction, and Japan is no exception. Japanese inheritance law incorporates rules determining how lifetime gifts from a deceased individual to their heirs impact the final distribution of their estate. A key principle in this calculation is

When an individual passes away in Japan leaving behind debts, a critical question arises for both the heirs and the creditors: how are these liabilities apportioned, and what rights do creditors have to recover what is owed? Recent amendments to Japan's Civil Code, particularly the introduction of Article

In Japanese estate planning, a frequently utilized tool for directing specific assets to particular heirs is a type of testamentary disposition commonly known as a "sōzoku saseru" will (「相続させる」旨の遺言). This phrasing, which translates to a will "causing inheritance" or "having [an heir] inherit,"

Recent amendments to Japan's Civil Code have brought significant changes to how heirs can assert their rights to inherited property against third parties. These reforms, centered around the newly introduced Article 899-2 of the Civil Code, emphasize the importance of "perfection requirements" (対抗要件 - taikō yōken)

Structured finance techniques like real estate securitization and non-recourse financing have become integral to modern capital markets, enabling property originators to unlock value from their assets and providing investors with tailored investment opportunities. In Japan, as in other sophisticated financial centers, the success and stability of these complex transactions rely

When acquiring real estate in Japan, the headline purchase price of the property is just one component of the total investment. A multitude of incidental costs are incurred throughout the transaction process, from brokerage fees and taxes to legal and registration expenses. The correct accounting and tax treatment of these

In the realm of corporate finance and investment, accounting standards are the bedrock upon which financial transparency and comparability are built. For entities operating or investing in Japan, understanding the specific nuances of Japanese Generally Accepted Accounting Principles (Japanese GAAP) is crucial. Two particularly significant standards related to real estate—

Liquidity risk, the potential difficulty in quickly converting an asset into cash without a significant loss in value, is an inherent characteristic of many investments. Real estate, by its very nature, is one of the least liquid asset classes due to high transaction costs, lengthy transaction times, and the unique

Japan's real estate market continues to be an attractive destination for international investors seeking diversification and stable returns. However, for non-residents—whether individuals or corporations—venturing into Japanese property, a thorough understanding of the local tax implications is paramount. Japanese tax law, like that of most developed nations,

For investors venturing into international real estate markets, optimizing tax efficiency is a paramount concern. The specter of double taxation—where income is taxed once at the corporate entity level and again when profits are distributed to investors—can significantly erode net returns and deter cross-border capital flows. In Japan&