Japanese inheritance law is set out in Part V of the Civil Code (the Minpō) and works on fixed rules rather than judicial discretion: a surviving spouse is always an heir, blood relatives inherit in a strict order of priority, close family members are protected by reserved shares that a will cannot erase, and inheritance tax applies once the estate exceeds 30 million yen plus 6 million yen for each statutory heir. The rules below cover who inherits, how shares are calculated, what makes a will valid, the tax and its deadlines, and the newer duty to register inherited real estate.
Whose Law Governs the Estate
Succession follows the national law of the deceased, not where they lived or where the assets sit. Under Article 36 of the Act on General Rules for Application of Laws, a British citizen who dies in Tokyo has their estate governed by English law even though the property is in Japan, and a Japanese national who dies abroad remains under Japanese succession law.1Japanese Law Translation (Ministry of Justice). Act on General Rules for Application of Laws A will’s validity is judged by the testator’s national law at the time it was written.
Tax is a separate question. Japanese inheritance tax attaches based on residency and where assets are located, and it can apply even when a foreign country’s succession law governs the estate.
Who Inherits and In What Order
The Civil Code, in Articles 887, 889, and 890, gives the surviving spouse a permanent place as a statutory heir regardless of which other relatives survive.2Japanese Law Translation. Civil Code Part V Succession Everyone else falls into a ranked hierarchy, and the presence of any heir in a higher rank shuts out every lower rank entirely.
- First rank: the deceased person’s children, with grandchildren stepping in if a child has already died.
- Second rank: parents and, failing them, grandparents, but only when no children or grandchildren exist.
- Third rank: siblings, and their children in their place, only when no descendants and no lineal ascendants survive.
The spouse inherits alongside whichever rank is active. If the deceased leaves a spouse and one child, the parents and siblings receive nothing through statutory succession.
Default Shares When There Is No Will
Article 900 fixes the fractions. The spouse’s share grows as the co-heirs become more distant:2Japanese Law Translation. Civil Code Part V Succession
- Spouse with children: spouse takes one-half; children split the other half equally.
- Spouse with parents or grandparents: spouse takes two-thirds; ascendants share one-third.
- Spouse with siblings: spouse takes three-quarters; siblings share one-quarter.
Co-heirs within the same rank divide their portion equally, so three children each receive one-sixth of the estate. A half-sibling who shares only one parent with the deceased inherits half the share of a full sibling. Children born outside of marriage now inherit on equal terms with those born within marriage; the Supreme Court struck down the earlier half-share rule as unconstitutional in 2013.
Reserved Shares That a Will Cannot Erase
A will cannot fully disinherit close family. The Civil Code guarantees a legally reserved share called iryubun to certain heirs even when the will leaves them nothing.2Japanese Law Translation. Civil Code Part V Succession
The pooled reserved portion is one-half of the estate when a spouse or children are among the heirs, and one-third when only lineal ascendants inherit. Siblings are excluded from this protection. Each protected heir’s individual reserved share is their statutory fraction applied to that pool: a spouse and two children produce a spouse’s reserved share of one-quarter and each child’s reserved share of one-eighth.
The right is not self-executing. A shortchanged heir must file a claim within one year of learning both of the death and of the gift or bequest that cut into their share, and the right expires ten years after the death no matter what.
What Makes a Will Valid in Japan
Three formats are recognized, each with its own formalities. A will that misses any required step for its chosen format can be declared void.
Holographic Will
Under Article 968 the testator must handwrite the entire text, the date, and their own name, and affix a personal seal. No witnesses are required, which makes it private and low-cost. Handwriting disputes, unclear language, and missing seals are the main sources of challenges. After death, a holographic will has to be submitted to the Family Court for a verification procedure before it can be carried out.3Japan Legal Support Center. Family Affairs: Recognition, Child Support, Visitation, Inheritance
Notarial Will
Under Article 969 the testator dictates the will to a public notary in front of at least two witnesses. The notary transcribes it, reads it back, and everyone signs and seals it.2Japanese Law Translation. Civil Code Part V Succession The original stays at the notary office, no Family Court verification is needed after death, and this format offers the strongest legal certainty. Notary fees are set by the Order for Notary Fees and scale with estate value, plus a fixed 11,000 yen for will preparation.4Japanese Law Translation. Order for Notary Fees
Secret Will
Under Article 970 the testator signs and seals the document, places it in a sealed envelope using the same seal, and presents it to a notary and two witnesses, declaring it to be their will and stating who wrote it. The notary records the date and the testator’s declaration on the envelope, and all parties sign. The contents do not have to be handwritten, but the notary never reads them, which is why this format is rarely used: it carries the procedural burden of notarization without the drafting safety.
Digital Wills Coming
In April 2026 the government adopted a bill allowing wills to be created digitally on computers or smartphones, with the file stored at a regional legal affairs bureau and read aloud to bureau staff, in person or online, as a check against forgery and coercion. The bill also removes the seal requirement across all will formats, including holographic ones. The system is expected to launch within a year of the bill’s passage. Until then the three traditional formats and their seal requirements are the only valid options.
Inheritance Tax
Japan’s inheritance tax applies only when the estate, after debts, exceeds a basic exemption of 30 million yen plus 6 million yen per statutory heir.5National Tax Agency. Cases Where Inheritance Tax Is Imposed An estate with three statutory heirs, for example, has a 48-million-yen threshold; only the excess is taxed. Rates are progressive across eight brackets, starting at 10 percent and reaching 55 percent on portions above 600 million yen. Because each heir’s statutory share is run through the brackets separately before the total tax is reallocated, the effective rate on most estates is well below the top marginal figure.
Spousal Deduction
A surviving spouse pays no tax on the greater of their statutory share or 160 million yen, whichever is larger.6Ministry of Finance. Structure of Inheritance Tax For most couples this wipes out the spouse’s tax bill entirely, which is why estate planning in Japan often focuses on the transfer to the next generation rather than on the initial spousal inheritance.
Residents, Non-Residents, and Cross-Border Estates
Residents of Japan are generally taxed on inherited assets worldwide.5National Tax Agency. Cases Where Inheritance Tax Is Imposed Non-residents are typically taxed only on assets located in Japan. Foreign nationals in Japan on certain visa categories may be taxed only on Japan-situs assets if they have lived in the country for no more than ten of the previous fifteen years. Changing to a different visa type or crossing the ten-year mark can pull worldwide assets into scope.
The United States and Japan have an estate and gift tax treaty designed to prevent the same assets from being taxed twice, and heirs facing both systems should seek cross-border advice to claim the available credits correctly.7Internal Revenue Service. Estate and Gift Tax Treaties (International)
The Ten-Month Filing Deadline
Heirs must file the inheritance tax return and pay the tax within ten months of the day they learn of the death.5National Tax Agency. Cases Where Inheritance Tax Is Imposed Missing the deadline triggers a late-filing surcharge that starts at 15 percent, drops to 5 percent for voluntary filings before the tax office makes contact, and rises to 40 percent in fraud cases. Repeat offenders penalized within the prior five years face still higher rates.
Mandatory Registration of Inherited Real Estate
Since April 1, 2024, an heir who receives land or buildings in Japan must register the ownership change within three years of learning of the inheritance. Failing to register without a justifiable reason can bring a civil fine of up to 100,000 yen.8The Ministry of Justice. Mandatory Inheritance Registration, and Mandatory Change-of-name Registration and Change-of-address Registration If the property is later divided by an heirs’ agreement, a further registration reflecting the agreed ownership is due within three years of that agreement. The rule also reaches backward: any property inherited before April 1, 2024, that was never registered must be registered by March 31, 2027.
Renouncing or Limiting an Inheritance
When an estate is likely worth less than its debts, an heir has two alternatives to unconditional acceptance, and both must be filed with the Family Court within three months of learning of the death and of being an heir. The three-month window can be extended by petition if more time is needed to investigate the estate.
Full Renunciation
Renunciation treats the heir as though they had never been one. They give up all rights to assets and shed all liability for the deceased’s debts.2Japanese Law Translation. Civil Code Part V Succession
Qualified Acceptance
Qualified acceptance, gentei shōnin, caps the heir’s liability for the deceased’s debts at the value of what they actually receive. If assets exceed debts, the heir keeps the surplus; if debts exceed assets, creditors are paid only up to the inherited value and the heir’s own property is safe.9Japanese Law Translation. Civil Code – Qualified Acceptance Article 922 The heir must file a detailed inventory of the estate with the Family Court within the same three-month window and then manage payments to creditors in a prescribed order. The procedure is demanding and usually needs professional help, but for estates whose balance is genuinely unclear it is often the safest route.
How Heirs Actually Divide the Estate
Statutory shares are the starting point. When more than one heir exists, they usually negotiate an estate division agreement, and every statutory heir must join and consent to it — leaving even one heir out voids the agreement. Heirs can then divide the assets in any proportion they choose regardless of the statutory fractions: one child might take the family home while another takes financial assets of equivalent value.
If heirs cannot agree, any of them can petition the Family Court for mediation. If mediation fails, the case moves automatically to a formal trial where a judge decides the division. Disputes over the value of real estate, attachment to a family home, or resentment over lifetime gifts routinely drag estates out for years, and getting professional appraisals of major assets early tends to prevent the worst deadlocks.