Hello, I'm Kamino, a civil engineer and government employee who writes a blog.
I wrote about my thoughts on the "Hometown Tax" program in the article below.
What's the deal with the "Hometown Tax" program?
Here, I’d like to briefly explain how to make a “hometown tax” donation for those of you who are interested but haven’t tried it yet.
What you'll need is
・Withholding tax statements for your family members (it’s sufficient if the amounts for salary income and social insurance premiums, etc., are listed)
・Smartphone (one that can read cards)
・My Number Card (including the PIN)
That's it.
Check the deadline
First, let's check the deadline.
The deadline for the Hometown Tax Donation program (until payment is completed) is December 31.
Applications for the One-Stop Special Exemption must be received by January 10 of the following year. Since the online process can be confusing, be sure to apply well in advance.
If you need to file a tax return, you have until March 15 of the following year.
Simulate the Maximum Deduction Amount
You can make as many donations as you like, but there is a cap on the amount you can claim as a tax deduction. First, let’s use the website to estimate how much you can donate. IHometown Tax Donation Site [Furunavi]I'm using this. Please sign up for a membership and then use the tax deduction limit simulator page.
Even if you don't have your withholding tax statement, as long as you know your approximate income and social insurance premiums, you can enter those figures and make a donation that doesn't push the limit.
Find a Charity Based on the Thank-You Gifts
Next, look for the thank-you gifts you want. The top entries in the popularity rankings are almost always good choices, so if you’re not sure what to pick, check the rankings. For example, if your donation is 50,000 yen, I think it’s best to spread it across two or three municipalities. To qualify for the one-stop special exemption, be sure to limit your donations to five municipalities or fewer.
By the way, I absolutely love the “Large Banamei Peeled Shrimp” from Shingu Town in Fukuoka Prefecture 🦐😻
Large Peeled Banamei Shrimp, approx. 1.5 kg (500 g × 3 packs) | Shingu Town, Fukuoka Prefecture
You might want to skip the beef—it can be hit or miss. If you're going with meat, I think you're better off with something like black pork sausages or other high-quality pre-packaged products.
Oh, of course, it’s totally fine to choose a municipality because you’ve received help from them or because you like it. Actually, that’s the right way to choose, haha.
Apply for the One-Stop Special Exemption
Please be sure to apply for the One-Stop Special Exemption. You should be able to do this by selecting each donation individually from the donation list screen.
You can submit your application by mail or apply online. If you submit by mail, you’ll need to include a copy of both sides of your My Number Card.
I've been applying online in recent years. To do that, you'll need a smartphone that can scan your My Number Card. I think any newer iPhone should be able to do it.
The process for online applications is generally explained in full in the documents you receive, so just follow the instructions and you’ll be fine. Taking Shingu Town as an example, you’d install the “IAM” app, log in to the “Furumado” website, register your donation information, and then submit the application all at once. There are also cases where you use a site called “Local Government My Page.” Since the available sites vary by municipality, it can be a bit of a hassle…
Once you have successfully filed your One-Stop Special Exemption application, you do not need to file a tax return.
Now all that's left is to receive the thank-you gift (*’ω’*)
In Closing
I've written down a rough outline of my approach.
There are pros and cons to the Hometown Tax program, but the way I see it, it’s a system that lets you receive food that’s a little more indulgent than usual, and if that brings you a little bit of happiness, I think it’s worth it. Some people even use it to buy things like bags or desks instead of food.
Since the burden of taxes and social insurance premiums is clearly going to become much heavier in the future, no matter what anyone says, I intend to make full use of any programs available to help my family. Hooray for the Ministry of Internal Affairs and Communications! And now, I’m going to eat some plump, juicy shrimp.
See you later.
