[Online application has been restored] Adjustment Benefit

On December 22, 2023, the Cabinet approved the outline of the tax reform for fiscal year 2024, and as part of measures to prevent Japan's economy from reverting to deflation, a fixed-amount tax cut has been implemented for income tax for fiscal year 2024 and local resident tax for fiscal year 2024. Adjustment benefits will be paid to those who are not expected to be able to fully reduce their taxes under this fixed-amount tax cut.

what's new

The online application process, which was experiencing issues, has now been restored.

Fixed amount of income tax reduction

The total number of taxpayers and their eligible spouses and dependents (including dependents under the age of 16) will be reduced by 30,000 yen per person in the 2024 income tax. (This total number of people x 30,000 yen is called the "fixed amount of income tax reduction available.")
Note: Spouses and dependents eligible for the deduction do not include those residing overseas.
For details, please refer to the National Tax Agency website.

Fixed amount reduction of individual inhabitant tax

The individual inhabitant's tax income tax rate for the fiscal year 2024 will be reduced by 10,000 yen for each person who is a taxpayer and a spouse or dependents eligible for the deduction (including dependents under the age of 16). (This total number of people x 10,000 yen is called the "fixed amount of reduction available for individual inhabitant's tax.")
For more information, please refer to the Taxation Division page.

Overview of Adjustment Benefits

The adjustment benefit is a benefit paid in 10,000 yen increments to those who are expected to be unable to achieve the fixed tax reduction. This benefit is tax-exempt and non-seizure-free by law.

Eligible recipients of adjustment benefits

The benefit is available to taxpayers who meet any of the following criteria:

1. Those whose fixed income tax reduction amount exceeds their estimated income tax amount for fiscal year 2024
2. Those whose fixed tax reduction amount for individual inhabitant tax exceeds the individual inhabitant tax income tax amount for fiscal year 2024

Note 1: This does not apply to those who are exempt from both the 2024 estimated income tax and the 2024 individual inhabitant tax income portion.
Note 2: This does not apply if the taxpayer's total income exceeds 18,050,000 yen.

Amount of Adjustment Benefit Payment

The total amount of 1. and 2. below will be rounded up to the nearest 10,000 yen.

1. Fixed amount of income tax reduction available - Estimated income tax for 2024
2. Fixed amount of individual inhabitant tax reduction available - Individual inhabitant tax income tax amount for fiscal year 2024

Note: If the value is negative, it will be set to 0 yen.

Examples of payment amounts

Example 1

For a single person who pays 10,000 yen in income tax and 20,000 yen in resident tax (before tax cuts)

• A fixed tax reduction of 10,000 yen will be applied to your income tax and 10,000 yen to your resident's income tax.
• The amount of income tax that cannot be fully reduced by the fixed amount, amounting to 20,000 yen , will be paid as an adjustment benefit.

1. Fixed amount of income tax reduction available (1 person x 30,000 yen) - estimated income tax for 2024 (10,000 yen) = 20,000 yen
2. Fixed amount of individual inhabitant tax reduction available (1 person x 10,000 yen) - individual inhabitant tax income tax for fiscal year 2024 (20,000 yen) = 0 yen

Example 2

In a family of four, one of the four family members is a taxpayer paying 30,000 yen in income tax and 20,000 yen in resident tax (before tax cuts), and the remaining three family members are eligible for the exemption as a spouse or dependent.

• A fixed tax reduction of 30,000 yen will be applied to your income tax and 20,000 yen to your resident's income tax.
• A total of 110,000 yen will be paid as adjustment benefits, consisting of 90,000 yen for income tax that cannot be fully reduced by the fixed amount and 20,000 yen for local resident tax .

1. Fixed amount of income tax reduction available (4 people x 30,000 yen) - Estimated income tax for 2024 (30,000 yen) = 90,000 yen
2. Fixed amount of individual inhabitant tax reduction available (4 people x 10,000 yen) - Individual inhabitant tax income tax for fiscal year 2024 (20,000 yen) = 20,000 yen

How to receive the adjustment benefit

Those who fall under the above category and have registered their public funds receiving account on My Number Portal or through their income tax return by June 2024 will be sent a "Payment Notice ." All others will be sent a "Payment Confirmation ."
Note: For details on the public funds receiving account, please refer to the Digital Agency website.

Notice of payment

The registered public funds receiving account number will be printed on the envelope and sent to eligible taxpayers.

Shipping time

Shipment will begin on Monday, July 22, 2024.

How to receive benefits

Please check the account information and the calculated payment amount. The money will be transferred to your public funds receiving account without any procedures .
Note: If you wish to decline the benefit or change the bank account, or if you find a significant discrepancy in the calculated figures, please contact the following number by Friday, August 2, 2024. We will provide you with information on the procedure.

Payment confirmation

They will be sent to eligible taxpayers in blue envelopes.

Shipping time

Late August 2024

How to receive benefits

After checking the details, please complete the procedure online using the QR code, or fill out the necessary information, attach the necessary documents and return it to us.

When will I receive my benefits?

• Households that have received notification of payment will be paid sequentially from Thursday, August 22, 2024.
• Households that receive the confirmation should fill out the necessary information, attach documents as necessary, and return it. Payments are expected to be made within one to one and a half months of receipt.

Note: The confirmation letter may take longer if there are any issues with the documents.

How do I receive my benefits?

As a general rule, the payment will be made to a bank account in the recipient's name.

Please be careful of scams pretending to be benefits!

Inagi City may contact you by phone or SMS (social messaging service) to inquire, but will never ask you to operate an ATM, reveal your cash card or credit card PIN number, or ask you to transfer a fee for receiving benefits.
If you receive a suspicious phone call or mail, please contact the following details, your nearest police station, or the police advice hotline (#9110).

Application/Inquiries

Inagi City Benefits Office (Life and Welfare Division, Benefits Section)

Phone: 042-401-5321
Reception hours: 9:00am to 5:00pm (excluding Saturdays, Sundays, and public holidays)
[Hearing Impaired Consultation Desk]
Fax: 042-401-5322