Japan and the Czech Republic have finalised negotiations on a new income tax treaty to replace their 1977 agreement, with the updated convention awaiting formal signature and parliamentary ratification before it can take effect.
Japan’s Ministry of Foreign Affairs announced on 13 March 2026 that officials from Japan and the Czech Republic have successfully concluded negotiations and agreed in principle on a new income tax treaty. The agreement was initialled by both parties on 6 March 2026, following a second round of negotiations.
The new convention will replace the existing treaty between Japan and the former Czechoslovakia, which originally entered into force in 1978. The updated agreement includes provisions designed to clarify taxation scope in both countries, eliminate international double taxation, and prevent tax evasion and avoidance.
The treaty will enter into force only after both governments sign the agreement and complete their domestic ratification procedures, including approval by Japan’s Diet.
The new treaty is expected to strengthen mutual investments and boost economic exchanges between Japan and the Czech Republic once it becomes effective.
