The amount of lost resident tax revenue related to hometown tax donations in Shinagawa Ward has been increasing year by year, exceeding 5 billion yen in fiscal 2024.

Normally, 75% of the loss in revenue would be compensated for by local allocation tax, but since special wards, including Shinagawa Ward, are non-granting bodies, they are unable to receive this compensation and will end up with a net loss in tax revenue. If this situation continues, it could lead to a decline in administrative services.
For this reason, special wards, including Shinagawa Ward, are calling on the national government to fundamentally review the hometown tax system.

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Taxation Division Tel: 03-5742-6662