How is the Furusato Nozei limit calculated?

The limit that keeps your out-of-pocket cost at 2,000 yen is "resident tax income-based portion × 20% ÷ (90% − income tax rate × 1.021) + 2,000 yen". For a single person under 40 with an income of 5 million yen (Kyokai Kenpo, Tokyo), the resident tax income-based portion is 238,300 yen and the income tax rate is 10%, so 238,300 × 20% ÷ 79.79% + 2,000 gives about 61,700 yen as the guideline limit.

What are the guideline limits by income?

For a single person (or a dual-income earner not claiming the spousal deduction) under 40, the guideline is about 28,000 yen at 3 million yen income, 42,000 yen at 4 million, 61,000 yen at 5 million, 77,000 yen at 6 million, 108,000 yen at 7 million, and 184,000 yen at 10 million. A spousal or dependent deduction lowers the limit. Use the "Table by income" tab to see the amounts by family structure.

How does the limit change if I am married and my spouse has no income?

The spousal deduction lowers your resident tax, so the limit goes down too. At 5 million yen income, the limit is about 53,000 yen with a spouse with no income, compared with about 61,000 yen for a single person. If you are a dual-income couple and do not claim the spousal deduction, the limit is the same as for a single person.

Does having children lower the limit?

Yes, if you support a child aged 16 or older, because the dependent deduction applies. Children under 16 have no dependent deduction, so the limit does not change (the dependent deduction for under-16s was abolished when the child allowance, now the 児童手当 Child Allowance, was introduced). A high school student (16-18) counts as a general dependent and a university student (19-22) as a specified dependent, which gives a larger deduction and lowers the limit more.

Where on my withholding slip do I look for an accurate calculation?

Enter the 支払金額 (payment amount) as your annual income and the 社会保険料等の金額 (social insurance premiums) as your social insurance premiums. The spousal deduction and number of dependents are also written on the slip. Figures for iDeCo (小規模企業共済等掛金控除, small business mutual aid premium deduction) and life insurance premium deductions shown on the slip can be entered under "Other income deductions".

Does doing iDeCo change my limit?

Yes. iDeCo contributions are fully deductible from income, so resident tax goes down and the Furusato Nozei limit goes down with it. For a single person with an income of 5 million yen, contributing 276,000 yen a year (23,000 yen a month) to iDeCo lowers the limit from about 61,000 yen to about 54,000 yen. Medical expense deductions lower the limit in the same way.

What happens if I donate more than the limit?

The special portion of resident tax does not increase beyond the limit, so the excess becomes almost entirely out-of-pocket cost. For a single person with 5 million yen income (limit about 61,700 yen) donating 80,000 yen, the out-of-pocket cost is about 18,400 yen instead of 2,000 yen. Since gifts can be worth up to 30% of the donation, though, a small excess can still be worth less than the value of the gifts.

Does the amount returned differ between the One-Stop Exception and a tax return?

The total is almost the same. With a 確定申告 (tax return), part of it is refunded as income tax and the rest is deducted from resident tax starting the following June. With the ワンストップ特例 (One-Stop Exception), no income tax is refunded and everything, including that portion, is deducted from resident tax. For a single person with 5 million yen income donating 50,000 yen, a tax return gives an income tax refund of 4,900 yen and a resident tax reduction of 43,099 yen, while the One-Stop Exception gives a resident tax reduction of 47,999 yen.

Who can use the One-Stop Exception?

Salaried workers who do not need to file a tax return and who donate to no more than 5 municipalities in a year (January to December). Donating to the same municipality multiple times counts as one. You must submit an application for each donation to the municipality by January 10 of the following year (must arrive by then). If you file a tax return for medical expense deductions or similar, you can no longer use the One-Stop Exception, so include your Furusato Nozei donations in the tax return.

When and by how much will my resident tax be reduced?

Your resident tax from June of the year after the donation through May of the following year is reduced by the deduction amount. For company employees, the resident tax withheld from your monthly pay drops by one twelfth each month. You can confirm the deduction was applied in the 寄附金税額控除 (donation tax credit) field of the resident tax notice that arrives via your employer around May or June.

Why is my out-of-pocket cost not exactly 2,000 yen?

It is because of tax rounding. Income tax is rounded down to the nearest 100 yen, so with a tax return your out-of-pocket cost can differ from 2,000 yen by a few dozen yen. A difference of a few dozen yen is a calculation error and nothing to worry about. If the gap is several thousand yen or more, you may have exceeded the limit.

Is Furusato Nozei worthwhile on a low income?

It is if you pay the income-based portion of resident tax. However, the limit is small: about 6,000 yen at an income of 1.5 million yen (single). At an income where resident tax is exempt (roughly 1.1 million yen or less in salary for a single person), no tax comes back, so almost the entire donation is out-of-pocket cost.

Furusato Nozei (Hometown Tax) Deduction Limit Simulation (from Income and Family)

Just enter your annual income and family structure to calculate the maximum Furusato Nozei (hometown tax) donation that keeps your out-of-pocket cost at 2,000 yen (the 控除上限額, deduction limit). Social insurance premiums are calculated automatically from your income, or you can enter the amount on your 源泉徴収票 (withholding slip) for a precise result. Once you enter a donation amount, you can see how much comes back as an income tax refund, the basic portion and the special portion of resident tax, how the ワンストップ特例 (One-Stop Exception) differs from a 確定申告 (tax return), and how much your out-of-pocket cost grows when you exceed the limit. Includes a limit table for incomes from 3 million to 20 million yen and 7 family patterns. Reflects income tax after the FY2025 (Reiwa 7) tax reform (higher basic deduction and employment income deduction).

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About Furusato Nozei (Hometown Tax) Deduction Limit Simulation (from Income and Family)

The Furusato Nozei Deduction Limit Simulator calculates, from your income and family, the maximum donation that keeps your out-of-pocket cost at 2,000 yen (the 控除上限額, deduction limit). The limit is set by the formula "resident tax income-based portion × 20% ÷ (90% − income tax rate × 1.021) + 2,000 yen", so the tool reflects social insurance premiums, spousal and dependent deductions, iDeCo and more, calculates resident tax to the yen, and only then derives the limit. When you enter a donation amount, it also shows how much comes back as an income tax refund and as the basic and special portions of resident tax, how the ワンストップ特例 (One-Stop Exception) differs from a 確定申告 (tax return), and how much your out-of-pocket cost rises if you exceed the limit. A quick-reference limit table for incomes from 3 million to 20 million yen and 7 family patterns is also included.

How to use Furusato Nozei (Hometown Tax) Deduction Limit Simulation (from Income and Family)

1Enter your annual income (the 支払金額 "payment amount" on your 源泉徴収票 withholding slip)
2If you have your withholding slip, switch social insurance to "Enter the amount from the withholding slip" and enter the 社会保険料等の金額 (social insurance premiums) figure
3Enter whether you claim the spousal deduction, the number of dependents, and other income deductions such as iDeCo or life insurance premiums
4On the "Find my limit" tab, check your estimated deduction limit and how the money comes back when you donate up to the limit
5On the "Calculate from donation" tab, enter the amount you actually donate and check your out-of-pocket cost and deduction breakdown
6On the "Table by income" tab, compare the limits by income and family structure

Great for

Find out how much you can donate through Furusato Nozei while keeping your out-of-pocket cost at 2,000 yen
Calculate your deduction limit precisely using the figures on your withholding slip
Compare how the limit changes for dual-income couples, a stay-at-home spouse, and children (high school or university students)
Check how much iDeCo or medical expense deductions lower your limit
See how much of your donation comes back from income tax and from resident tax respectively
Check whether the amount returned differs between the ワンストップ特例 (One-Stop Exception) and a 確定申告 (tax return)
See how much your out-of-pocket cost rises if you donate over the limit
Calculate your remaining allowance before a last-minute year-end donation

Good to know

This tool is for people with salary income only, such as company employees and civil servants. If you are self-employed or have side-business income, real estate income, or capital gains from stocks, your limit will differ.
It assumes donations made from January to December 2026 (Reiwa 8). Income tax follows the Reiwa 8 rules (including the temporary basic deduction increase and the 650,000 yen minimum employment income deduction), and resident tax follows the Reiwa 9 fiscal year rules.
The deduction limit is calculated as "resident tax income-based portion (after adjustment deduction) × 20% ÷ (90% − income tax rate × 1.021) + 2,000 yen". The income tax rate here is determined from the resident tax taxable income minus the personal deduction difference adjustment amount (Local Tax Act Supplementary Provisions, Article 5-6).
The basic portion of resident tax applies to donations up to 30% of total income, and the income tax donation deduction applies up to 40%. Unless your income is extremely low, you will almost never hit these caps.
The housing loan deduction (resident tax portion) does not affect the calculation of the special-portion cap (20% of the resident tax income-based portion). However, the actual refund may change if your income tax is too low to absorb the full deduction in a tax return, so if you have a housing loan deduction, leave some margin in your donation.
When social insurance premiums are calculated automatically, the tool uses the Kyokai Kenpo prefectural rates (FY2025), 18.3% for employees' pension, and 0.55% for employment insurance. If you belong to a health insurance society or receive large bonuses, entering the 社会保険料等の金額 from your withholding slip is more accurate.
The ワンストップ特例 (One-Stop Exception) is available to salaried workers who do not need to file a 確定申告 (tax return) and who donate to no more than 5 municipalities in a year. If you file a tax return for medical expense deductions or the first year of a housing loan deduction, the One-Stop application becomes void, so include your Furusato Nozei donations in the tax return.
Gifts are capped at 30% of the donation amount. In addition, from October 2025, portal sites are prohibited from giving points for donations.
Results are estimates. Municipal rounding may cause differences of a few hundred yen. You can check the exact deduction on the resident tax notice that arrives around June of the following year.
Everything you enter is calculated in your browser and is never sent to a server.

Questions this tool answers

Use Furusato Nozei (Hometown Tax) Deduction Limit Simulation (from Income and Family) for searches like these:

I want to calculate my Furusato Nozei limit
I want to know how much I can donate through Furusato Nozei
I want to know the Furusato Nozei limit for a 5 million yen income
I want to calculate my Furusato Nozei limit from my withholding slip
I want to know the Furusato Nozei limit for a dual-income couple
I want to know the limit when supporting a spouse or children
I want to know how iDeCo changes my Furusato Nozei limit
I want to know the Furusato Nozei deduction breakdown (income tax and resident tax)
I want to know the difference between the One-Stop Exception and a tax return
I want to know what happens if I exceed the Furusato Nozei limit
I want to see a Furusato Nozei table by income
I want to know how much Furusato Nozei reduces my resident tax
I want to check that my Furusato Nozei out-of-pocket cost is 2,000 yen

FAQ

How is the Furusato Nozei limit calculated?: The limit that keeps your out-of-pocket cost at 2,000 yen is "resident tax income-based portion × 20% ÷ (90% − income tax rate × 1.021) + 2,000 yen". For a single person under 40 with an income of 5 million yen (Kyokai Kenpo, Tokyo), the resident tax income-based portion is 238,300 yen and the income tax rate is 10%, so 238,300 × 20% ÷ 79.79% + 2,000 gives about 61,700 yen as the guideline limit.
What are the guideline limits by income?: For a single person (or a dual-income earner not claiming the spousal deduction) under 40, the guideline is about 28,000 yen at 3 million yen income, 42,000 yen at 4 million, 61,000 yen at 5 million, 77,000 yen at 6 million, 108,000 yen at 7 million, and 184,000 yen at 10 million. A spousal or dependent deduction lowers the limit. Use the "Table by income" tab to see the amounts by family structure.
How does the limit change if I am married and my spouse has no income?: The spousal deduction lowers your resident tax, so the limit goes down too. At 5 million yen income, the limit is about 53,000 yen with a spouse with no income, compared with about 61,000 yen for a single person. If you are a dual-income couple and do not claim the spousal deduction, the limit is the same as for a single person.
Does having children lower the limit?: Yes, if you support a child aged 16 or older, because the dependent deduction applies. Children under 16 have no dependent deduction, so the limit does not change (the dependent deduction for under-16s was abolished when the child allowance, now the 児童手当 Child Allowance, was introduced). A high school student (16-18) counts as a general dependent and a university student (19-22) as a specified dependent, which gives a larger deduction and lowers the limit more.
Where on my withholding slip do I look for an accurate calculation?: Enter the 支払金額 (payment amount) as your annual income and the 社会保険料等の金額 (social insurance premiums) as your social insurance premiums. The spousal deduction and number of dependents are also written on the slip. Figures for iDeCo (小規模企業共済等掛金控除, small business mutual aid premium deduction) and life insurance premium deductions shown on the slip can be entered under "Other income deductions".
Does doing iDeCo change my limit?: Yes. iDeCo contributions are fully deductible from income, so resident tax goes down and the Furusato Nozei limit goes down with it. For a single person with an income of 5 million yen, contributing 276,000 yen a year (23,000 yen a month) to iDeCo lowers the limit from about 61,000 yen to about 54,000 yen. Medical expense deductions lower the limit in the same way.
What happens if I donate more than the limit?: The special portion of resident tax does not increase beyond the limit, so the excess becomes almost entirely out-of-pocket cost. For a single person with 5 million yen income (limit about 61,700 yen) donating 80,000 yen, the out-of-pocket cost is about 18,400 yen instead of 2,000 yen. Since gifts can be worth up to 30% of the donation, though, a small excess can still be worth less than the value of the gifts.
Does the amount returned differ between the One-Stop Exception and a tax return?: The total is almost the same. With a 確定申告 (tax return), part of it is refunded as income tax and the rest is deducted from resident tax starting the following June. With the ワンストップ特例 (One-Stop Exception), no income tax is refunded and everything, including that portion, is deducted from resident tax. For a single person with 5 million yen income donating 50,000 yen, a tax return gives an income tax refund of 4,900 yen and a resident tax reduction of 43,099 yen, while the One-Stop Exception gives a resident tax reduction of 47,999 yen.
Who can use the One-Stop Exception?: Salaried workers who do not need to file a tax return and who donate to no more than 5 municipalities in a year (January to December). Donating to the same municipality multiple times counts as one. You must submit an application for each donation to the municipality by January 10 of the following year (must arrive by then). If you file a tax return for medical expense deductions or similar, you can no longer use the One-Stop Exception, so include your Furusato Nozei donations in the tax return.
When and by how much will my resident tax be reduced?: Your resident tax from June of the year after the donation through May of the following year is reduced by the deduction amount. For company employees, the resident tax withheld from your monthly pay drops by one twelfth each month. You can confirm the deduction was applied in the 寄附金税額控除 (donation tax credit) field of the resident tax notice that arrives via your employer around May or June.
Why is my out-of-pocket cost not exactly 2,000 yen?: It is because of tax rounding. Income tax is rounded down to the nearest 100 yen, so with a tax return your out-of-pocket cost can differ from 2,000 yen by a few dozen yen. A difference of a few dozen yen is a calculation error and nothing to worry about. If the gap is several thousand yen or more, you may have exceeded the limit.
Is Furusato Nozei worthwhile on a low income?: It is if you pay the income-based portion of resident tax. However, the limit is small: about 6,000 yen at an income of 1.5 million yen (single). At an income where resident tax is exempt (roughly 1.1 million yen or less in salary for a single person), no tax comes back, so almost the entire donation is out-of-pocket cost.

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