On June 17, former Japanese media person Shimoya Kazuyoshi posted a special video on his YouTube channel “Shimoya Kazuyoshi’s Honest Media,” discussing the issue of Chinese buyers extensively acquiring temples and shrines in Japan. Shimoya pointed out that assets from China are being used to transfer assets and evade taxes through the special status of Japanese “religious corporations.”
Shimoya, who previously worked at Tokyo TV, released a video on his self-media channel addressing the influx of Chinese investment in acquiring Japanese religious assets. Due to the continuous decline in Japan’s population, many temples and shrines in various regions struggle to sustain operations, leading to a significant number of “inactive religious corporations” where there are no religious activities taking place. Unattended temples are then publicly listed on intermediary websites for sale, with prices ranging from tens of millions to hundreds of millions of yen.
Shimoya analyzed the two main reasons driving Chinese individuals to purchase religious assets in Japan. Firstly, to maneuver assets and evade China’s foreign exchange controls, as using funds under the guise of “donations” or “protecting shrines” makes it easier to bypass rigorous scrutiny and regulation. Secondly, to leverage the unique rights of Japanese religious corporations, such as donations from believers being tax-exempt, or enjoying exemptions from fixed asset and inheritance taxes.
Shimoya also highlighted that Japanese religious corporations lack the concept of a substantive “owner,” making it difficult for outsiders to gauge the true financial situation, posing a risk of turning Japanese temples into hotbeds for tax evasion and money laundering.
Japanese authorities have recognized the misuse of “inactive religious corporations” and have begun seeking countermeasures. In April 2026, the Japanese Agency for Cultural Affairs convened a workshop aimed at preventing inactive religious corporations from being used for illegal purposes such as tax evasion or money laundering. The Agency emphasized that unattended religious corporations could become targets for unlawful exploitation, and to gain a better understanding of the situation, they plan to conduct a comprehensive survey and formulate relevant guidelines within the year.
The workshop was based on the “2024 Survey on Inactive Religious Corporations” published in July 2025. As of December 2024, there were approximately 180,000 religious corporations nationwide in Japan, with 5,019 identified as inactive religious corporations. According to data from a business database and corporate number statistics by Tokyo Shoko Research (TSR), the total number of religious corporations in Japan is around 177,900.
Originally, religious corporations should not be utilized as commercial tools, and the “Religious Corporations Act” did not consider their use for purposes other than religious activities. Therefore, the fact that someone might acquire the status of a religious corporation through transactions and engage in non-religious affairs is considered a concerning issue. In its mutual evaluation conducted in October 2024, the Financial Action Task Force (FATF) also highlighted Japan’s oversight mechanism for religious corporations, making related reforms an urgent matter.
Due to the constitutional guarantee of religious freedom in Japan and the principle of separation of religion and state, the government intentionally restricts its authority over religious matters, while prohibiting government intervention in religious affairs. Therefore, despite the government’s awareness of the issue, addressing it effectively proves challenging.
Although the Japanese Agency for Cultural Affairs is accelerating the rectification of inactive religious corporations, given the large number of corporations involved, implementing necessary measures is expected to take considerable time.
In recent years, Japan has witnessed declining trends in population, the number of believers, and religious corporations. According to the Agency for Cultural Affairs’ “Religious Statistics Survey,” the number of religious corporations in Japan decreased from 181,800 in 2014 to 178,900 by 2023.
Some religious corporations in Japan remain idle due to the lack of successors. In certain cases, third parties may gain control through improper means or acquire religious corporations through methods like mergers and acquisitions (M&A) for unlawful activities such as tax evasion.
The Japanese Agency for Cultural Affairs is enhancing related measures, urging the M&A industry to refrain from facilitating illegal transactions involving religious corporations, collaborating with registered tax accountant groups, conducting surveys of religious corporations, and strengthening supervision and information collection.
Japanese society is deeply influenced by religious and cultural practices. Japanese individuals traditionally visit shrines for blessings when babies are born and participate in the “Shichigosan” ceremony on November 15 to express gratitude for children’s healthy growth. This ritual has historical significance, as in ancient times, child mortality rates were high, leading families to seek blessings at shrines for children at the ages of three (boys and girls), five (boys), and seven (girls).
In ancient Japan, children would have their heads shaved and start growing their hair around age three, symbolizing smooth growth; boys would wear formal hakama (traditional Japanese trousers) at age five, marking the transition to manhood; girls would wear a belt with a kimono at age seven, signifying entry into adolescence. Many Japanese families, even those not actively practicing religious beliefs or visiting shrines regularly, participate in shrine activities like “Shichigosan.”
Shrine weddings, known as “shintai shiki,” are the most traditional form of Japanese weddings where the bride wears a white traditional wedding kimono and the groom dons a formal kimono. Additionally, many Japanese individuals visit shrines for New Year prayers annually. Shrines are not only places of worship but also serve as cultural relics, repositories of family memories, and occasions for life ceremonies.
Most funerals in Japan follow Buddhist traditions and are presided over by temple monks. Japanese temples are not solely religious sites; they often operate under a system where families are affiliated with specific temples responsible for funeral ceremonies and memorial services. When a family member passes away, funeral rites are performed at the temple, and family members return on anniversaries for memorial services.
Shimoya Kazuyoshi recounted the unfortunate outcome of a historically significant temple purchased by a Chinese individual in his video. The buyer acquired a temple in the Kansai region for 150 million yen and proceeded to demolish it without informing local believers, effectively erasing the temple’s historical ties to the community.
Shimoya Kazuyoshi urged Japanese citizens not to overlook the exploitation of regulatory loopholes that threaten Japan’s traditional culture. It is a serious social issue that demands attention and action, rather than remaining indifferent.