The consumption tax hike seems finally settled. Many feel it is unavoidable for national finances yet hard to swallow when looking at daily life. Here is a way to make paying taxes a little more enjoyable.
The furusato nozei (hometown tax donation) system is four years old. Your hometown need not be the recipient — choose any municipality you like. Some send only a letter of thanks from the mayor; others send local specialties worth roughly 4,000–5,000 yen for a 10,000-yen donation — seafood, apples, cherries, vegetables, rice, and more.
Based on the 2008 local tax law revision, donations over 2,000 yen to municipalities are deductible up to 10% of resident tax income levy, combined with income tax, via next year's tax return. You receive a 10,000-yen receipt and deduct it in February–March.
Specialties support local industry; donations fund youth programs, elderly health, and other purposes you can choose. Clear purposes and local gifts can make paying taxes surprisingly pleasant.
