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Glossary term

Furusato Nōzei

Japan hometown tax donation

🇯🇵Japan · Tax Year 2026Reviewed Plain-English
Definition

What is Furusato Nōzei?

Furusato Nōzei lets Japanese taxpayers donate to a local government and get almost the entire amount back as a tax credit (minus a ¥2,000 flat fee), while receiving "thank-you gifts" (rice, meat, fruit, sake) worth ~30% of the donation. Widely used to effectively redirect tax revenue in exchange for premium goods.

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