We are pleased to announce that your donations are tax deductible. Your tax credit could be almost 40% of your donation. Please refer to the explanation below on how to calculate and claim the tax credit for your donation.
The tax credit is calculated as follows: (the total amount of your donation – 2,000 yen)×40%. This calculated amount can be deducted from your income for income tax purposes.
- If the total amount of the donation exceeds 40% of your gross income, the maximum amount that can be claimed as a donation is 40% of your gross income (see aforementioned calculation as the tax credit will be, at most, a percentage slightly less than 40%).
- If the amount of the tax credit exceeds 25% of your income tax payable, the maximum amount that can be claimed is 25% of your income tax payable.
ExampleWhen you donate 10,000 yen, the tax credit is calculated as outlined below:
（10,000 yen - 2,000 yen）×40% =3,200 yen
In addition, you receive an additional municipal tax credit if you live in Tokyo:
（10,000 yen – 5,000 yen）×10%=500 yen
Please note that this example applies only for donations made after February 10, 2012, and this municipal tax credit example is for a resident of Tokyo. The municipal tax credit may vary depending on your local municipal government. Please inquire about further details from your local taxation office or government office.
Income tax credit
The amount of the tax credit is based on the following calculation: the total amount of your donation–2,000 yen.