Japan Has No 1031 Exchange-like System

• Japan has no laws similar to 1031 Exchange in US.
• When a Japanese person sells real estate, he/she is required to pay taxes in Japan.
• If a Japanese person owns real estate in the US and use the 1031 exchange in the US, he/she needs to pay taxes in Japan.
• If a Japanese person owns a LLC (Limited Liability Company) in the US, and if the LLC owns real estate in the US and use 1031 exchange in the US, no tax is required in Japan.

References:

• https://hawaii.tokyo/1031exchange/
• https://usafudosan.com/2018/07/13/1031forjpinvestor/