Furusato Nōzei Calculator

A scheme that lets you donate to any Japanese municipality (not just your hometown) and receive the donation back as a credit against your income and resident taxes, minus a fixed ¥2,000 out-of-pocket. Most donations include a thank-you gift (wagyu beef, fruit, sake, rice, electronics) worth up to 30% of the donation value.

Roughly 20% of your resident tax liability adjusted for marginal tax rate. For a ¥7M salaried worker, the cap is around ¥80,000-¥110,000. Exceed the cap and the excess is not deductible. Use the calculator every year because your cap varies with income.

Two paths: (1) One-Stop Exception — donate to ≤5 municipalities and each returns a simple form; no filing needed (resident-tax-only reduction). (2) File a year-end tax return (kakutei shinkoku) — required if you donate to 6+ places, have side income, or claim other deductions. The One-Stop route works for most salaried donors.

Anytime between January 1 and December 31 of the tax year. The cap is based on that year's income, so most people donate in November/December when their annual income is clearer. Avoid year-end rush — popular gifts (crab, eel) run out.

Only Japanese tax residents (paying resident tax) can benefit. Expats become residents after Jan 1 of year 2 onward. First-year residents get very little benefit since the credit applies to next year's resident tax (which is minimal).

Top platforms by catalogue size and ease-of-use: Rakuten Furusato Nōzei (earn Rakuten points on donations — effectively 2%-10% back, often makes the program net-profitable), Furusato Choice (largest catalogue, 350+ municipalities), Satofuru (clean UI), ANA Furusato Nōzei (earn miles). For maximum value stack: donate during Rakuten Super Sale using Rakuten Card + 5-and-0-days campaigns — total rebates can exceed 10%. Make sure your total donations stay below your calculated cap; excess donations lose the tax benefit but you still keep the gifts.