Germany Inheritance Guide for Sendai (仙台市)
This guide covers inheritance tax implications for Germany nationals who own or inherit property in Sendai, Japan. The largest city in the Tohoku region with a growing international student population centered around Tohoku University.
Sendai is home to approx. 14,000 foreign residents, predominantly from Chinese, Vietnamese, South Korean. While Germany nationals are a smaller community, the same inheritance tax rules apply to all foreign nationals with property in Sendai.
Germany Inheritance Tax Status
Germany imposes Erbschaftsteuer (inheritance tax) at rates from 7% to 50% depending on the relationship and amount. Class I (spouse, children): 7%–30%. Class II (siblings, nieces): 15%–43%. Class III (non-relatives): 30%–50%. Tax-free allowance: €500,000 for spouses, €400,000 per child.
Note: Japanese inheritance tax applies to property in Japan regardless of Germany's domestic tax regime.
Property Values by District in Sendai
| District | Land Value (路線価) |
|---|---|
| Aoba-ku (青葉区) | ¥300,000/㎡ |
| Miyagino-ku (宮城野区) | ¥140,000/㎡ |
| Wakabayashi-ku (若林区) | ¥130,000/㎡ |
| Taihaku-ku (太白区) | ¥110,000/㎡ |
| Izumi-ku (泉区) | ¥100,000/㎡ |
路線価 (rosenka) is the NTA assessed land value, approximately 80% of market value. Basic deduction with 2 heirs: ¥42,000,000. Calculate for your specific address.
Sendai Overview for Germany Nationals
Average Land Value
¥130,000/㎡
Value Range
¥100,000–300,000/㎡
Foreign Residents
~14,000
Estimated Tax (100㎡ at city average, 2 heirs)
¥0 (Tax-Free — within basic deduction)
Property Characteristics in Sendai
Post-earthquake reconstruction has created significant new building stock in coastal areas. Aoba-ku (city center) has the highest values. Large university campus proximity creates rental property investment opportunities. Earthquake-resistant construction standards are strictly enforced.
Tax Treaty: Germany & Japan
Japan-Germany Tax Treaty (日独租税条約, 2015)
Covers income and corporate tax only. Germany imposes Erbschaftsteuer (inheritance tax) at 7%–50%. Double taxation relief relies on domestic provisions. Germany provides unilateral credit under §21 ErbStG.
Key Provisions:
- •Income/corporate tax provisions only
- •Germany unilateral inheritance tax credit under §21 ErbStG
- •Japan domestic foreign tax credit (§20-2) for German inheritance tax paid
Applicable Law for Germany Nationals
Under Japan's Act on General Rules for Application of Laws (法の適用に関する通則法, Article 36), the inheritance of a person is governed by the national law of the decedent.
German Civil Code (BGB, Book 5: Erbrecht) governs succession. Under EU Succession Regulation (Brussels IV), the law of the decedent's habitual residence applies by default. Germany traditionally applied the nationality principle but now follows Brussels IV for EU-connected cases.
Important: The applicable succession law is determined by nationality, not by the location of property. Even for property in Sendai, Germany succession law may govern inheritance rights — but Japanese tax law always determines the tax obligation on Japan-situs property.
Renvoi (反致): May Apply
Germany recognizes renvoi under EGBGB (Introductory Act to the Civil Code). For non-EU cases, German conflict rules may refer back to Japanese law for immovable property located in Japan.
Tax Obligation in Sendai
Unlimited Taxpayer (無制限納税義務者)
Taxed on all worldwide assets.
Applies if: domiciled in Japan, OR foreign national with residence visa who has lived in Japan for 10+ years.
Limited Taxpayer (制限納税義務者)
Taxed only on assets in Japan.
Applies if: not domiciled in Japan, OR foreign national who has lived in Japan for less than 10 years.
Double Taxation Warning: While Japan has a tax treaty with Germany, it does not cover inheritance tax. Relief must be claimed under Japan's domestic foreign tax credit (相続税法 第20条の2) or Germany's domestic provisions.
Sendai-Specific Inheritance Considerations
1.2011 Great East Japan Earthquake and tsunami affected coastal property values and records — some titles may require special verification
2.Earthquake reconstruction zone properties may have special valuation rules or government subsidies affecting net estate value
3.University-area properties attract international academic residents, particularly from Asian countries
Filing Inheritance Tax in Sendai
Inheritance tax returns must be filed within 10 months of the date of death at the tax office with jurisdiction over the decedent's last address.
Relevant Tax Offices in Sendai:
- •Sendai-Chuo Tax Office (仙台中税務署)
- •Sendai-Kita Tax Office (仙台北税務署)
For Germany nationals, additional documentation may be required including translated certificates from Germany. Filing in Japanese is required — most Germany nationals engage a tax accountant (税理士) to handle the filing.
Required Documents for Germany Nationals
Erbschein (Certificate of Inheritance)
German probate certificate issued by the Nachlassgericht (probate court), proving heir status.
Familienbuch / Personenstandsurkunden
German civil registry certificates (birth, marriage, death).
Apostille
Germany is a Hague Convention member. Documents require Apostille from the Landgericht or Bezirksgericht.
Certified Japanese Translation
All German-language documents must be translated into Japanese by a certified translator.
Death Certificate (Sterbeurkunde)
German or Japanese death certificate depending on where death occurred.
Frequently Asked Questions
How much is inheritance tax on property in Sendai for Germany nationals?
With an average land value of ¥130,000/㎡ in Sendai, a 100㎡ property is valued at approximately ¥13.0 million. With 2 heirs, this falls within the basic deduction (¥42 million), so no tax would be owed. However, values in Sendai range from ¥100,000/㎡ (Izumi-ku (泉区)) to ¥300,000/㎡ (Aoba-ku (青葉区)), so actual tax varies significantly by location.
Which law applies to Germany inheritance in Sendai?
German Civil Code (BGB, Book 5: Erbrecht) governs succession. Under EU Succession Regulation (Brussels IV), the law of the decedent's habitual residence applies by default. Germany traditionally applied the nationality principle but now follows Brussels IV for EU-connected cases. The location of property in Sendai does not change the applicable law — it is determined by the decedent's nationality. However, Japanese inheritance tax applies to property located in Japan regardless of which country's succession law governs.
Do Germany nationals need to pay inheritance tax on property in Sendai?
Yes, if the heir or decedent has a domicile in Japan. Japan has a tax treaty with Germany that may provide relief from double taxation. For reference: Germany imposes Erbschaftsteuer (inheritance tax) at rates from 7% to 50% depending on the relationship and amount. Class I (spouse, children): 7%–30%. Class II (siblings, nieces): 15%–43%. Class III (non-relatives): 30%–50%. Tax-free allowance: €500,000 for spouses, €400,000 per child.
Does the Japan-Germany Tax Treaty (日独租税条約, 2015) cover inheritance tax?
No. The Japan-Germany Tax Treaty (日独租税条約, 2015) covers income tax only, NOT inheritance tax. Covers income and corporate tax only. Germany imposes Erbschaftsteuer (inheritance tax) at 7%–50%. Double taxation relief relies on domestic provisions. Germany provides unilateral credit under §21 ErbStG.
Which tax office handles inheritance tax filings in Sendai?
Inheritance tax returns in Sendai are filed at the tax office that has jurisdiction over the decedent's last address. Main tax offices: Sendai-Chuo Tax Office (仙台中税務署), Sendai-Kita Tax Office (仙台北税務署). The filing deadline is 10 months from the date of death.
What are typical land values in different parts of Sendai?
Land values (路線価) in Sendai vary significantly by district: from ¥100,000/㎡ in Izumi-ku (泉区) to ¥300,000/㎡ in Aoba-ku (青葉区). These are the NTA assessed values (路線価), which are approximately 80% of market value.
Need Help with Inheritance in Sendai?
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Germany Guides for Other Cities
Sendai Guides for Other Nationalities
This tool provides rough estimates only. It does not constitute tax advice or tax filing services. Actual tax obligations may differ significantly. Please consult a licensed tax professional (税理士) for accurate calculations. Land values are based on NTA published data and may not reflect current market conditions.