Furusato Nozei Limit Table: By Income From 3 Million to 20 Million Yen and Family Type

Deduction limits by income and family type

These are estimated limits for a company employee with salary income only (under 40, on the Japan Health Insurance Association plan in Tokyo), with social insurance calculated from income and rounded down to the nearest 1,000 yen. "Dual income" means you don't take the spouse deduction, and "couple" means your spouse has no income. A high school student is counted as a general dependent and a university student as a specified dependent.

The single limit jumps from 77,000 yen to 98,000 yen between 6 million and 6.5 million yen because the income tax rate used for the special portion rises from 10% to 20%, which lowers the deduction rate. That's why the limit isn't proportional to income. How to calculate your furusato nozei limit explains the mechanics.

Dual-income couples look at each person's income

The limit is set by the resident tax of the person donating, not by the household. In a dual-income couple, each spouse looks at the "single / dual income" column for their own income and donates in their own name.

• The donor's name must match the person getting the deduction (the one paying the resident tax). If you put the wife's share under the husband's name or card, it won't come off her resident tax
• The parent who claims a child as a dependent has a lower limit because of the dependent deduction. Which parent claims the child also changes the household total slightly
• Taking the spouse deduction lowers your limit compared with having no spouse (from 77,000 yen to 69,000 yen at 6 million yen of income)

How your children's ages and spouse's income change the limit

The limit falls because dependent and spouse deductions reduce the income-based portion of your resident tax. Family members who don't qualify for a deduction don't affect it, however many there are. Here's the comparison for a company employee earning 6 million yen.

Children of junior high age or younger are covered by the child allowance, and the dependent deduction for them was abolished, so they don't lower your furusato nozei limit. When using columns such as "dual + high schooler," leave those younger children out of the count. For how deductions change with a spouse's income, see the guide to income walls.

What to watch for at low and high incomes

At low incomes, the income-based resident tax is small and so is the limit. For a single person under 40, the limit is 6,000 yen at 1.5 million yen of income, 15,000 yen at 2 million yen and 28,000 yen at 3 million yen. At 1.2 million yen or less, no income-based resident tax is charged, and you'd get almost nothing back from a donation (the threshold for exemption varies a little by municipality).

At high incomes, the table has two quirks. First, from 12 million yen up, the "couple" and "single" limits are the same. Once your total income passes 10 million yen you can't take the spouse deduction, so having a spouse doesn't change your resident tax. Second, from 9 million yen up, "dual + high schooler" is slightly lower than "couple." People earning over 8.5 million yen with a dependent under 23 get an income adjustment deduction, which reduces the income figure itself.

Get the table and your limit for your own situation

The "Table by income" tab in the Furusato Nozei Deduction Limit Simulator shows the same table as this article, with 16 income levels and 7 family types. If you change your age or the prefecture of your workplace in the "Find my limit" tab before opening it, the table recalculates with those conditions. You can also use "Copy table (for pasting into Excel)" to paste it into a spreadsheet.

If your family doesn't fit any column (a spouse with income, three or more dependents, a parent you live with and support, and so on), enter your spouse's income and number of dependents in the "Find my limit" tab. To compare how much other deductions such as iDeCo lower the limit, see furusato nozei with iDeCo, medical expense and housing loan deductions.

FAQ

How much can I donate through furusato nozei on an income of 5 million yen?

For a company employee with salary income only, under 40, the estimate is 61,000 yen if single, 53,000 yen for a couple whose spouse has no income, and 41,000 yen for a couple with one high school child. It's lower if you have iDeCo or medical expense deductions.

Which column should a dual-income couple use?

Each spouse looks at the "single / dual income" column for their own income. The limit is set by the donor's own resident tax, so with a husband earning 6 million yen and a wife earning 4 million yen, he donates 77,000 yen and she donates 42,000 yen, each in their own name.

Do elementary or junior high school children lower my limit?

No. Children under 16 don't qualify for the dependent deduction, so your income-based resident tax doesn't change, and neither does your furusato nozei limit. The limit falls only with dependents aged 16 and over.

What's the furusato nozei limit on an income of 10 million yen?

For a company employee with salary income only, under 40, the estimate is 184,000 yen if single, 174,000 yen for a couple whose spouse has no income, and 147,000 yen for a couple with a university student and a high school student.