"No One to Inherit": Record 1.2 Trillion Won in Lifetime Assets Ultimately Transferred to National Treasury

Over 1.2 Trillion Won in Inheritance Transferred to Japan's National Treasury
Highest Amount Since Records Began in 2013
Some Heirs Renounce Inheritance Due to Burdensome Process

In Japan, the amount of inheritance left by deceased individuals without heirs and transferred to the national treasury exceeded 129.1 billion yen (approximately 1.2188 trillion won) last year. This is the highest amount recorded since related statistics began in 2013.

Japanese yen

According to a report by NHK on December 3 and other sources, the value of "inheritance without heirs" in Japan reached 129,163,740,000 yen last year. This is a 3.8-fold increase over 11 years from the 33.6 billion yen (approximately 317.14 billion won) transferred in 2013.

The Japanese Civil Code designates spouses, children, parents, and siblings as statutory heirs. However, if there are no legal heirs and no will designating an heir exists, the deceased is considered to have no heirs in principle. In such cases, the inheritance left by the deceased is handled by a liquidator appointed by the family court. After settling unpaid taxes and funeral expenses, the liquidator transfers any remaining assets to the national treasury.

Experts attribute the increase in inheritance transferred to the state to factors such as the declining birthrate and aging population, as well as a rising proportion of people who do not marry, resulting in more elderly individuals without heirs. Even when relatives who qualify as heirs exist, there are cases where they renounce the inheritance because they are elderly themselves and find the process of settling or disposing of the estate burdensome. This, too, contributes to the rise in inheritance transferred to the state.

Yoshida Shuhei, Vice President of the Japan Inheritance Association, stated, "The number of elderly people without anyone to rely on is expected to continue increasing," and added, "Since it is possible to bequeath assets to those who have helped you in life or to social organizations through a will, it is advisable to make arrangements in advance regarding how your assets will be handled."