Tax incentives
Tax incentives
Donations to our organization are eligible for tax benefits.
Donations from corporations
The entire amount of donations can be deducted as expenses (Corporation Tax Law, Article 37).
Donations from individuals
Individuals who donate 2,000 yen or more can receive a donation deduction from their "income tax" and some local government "resident tax" by submitting a receipt issued by our corporation when filing a tax return. (Please be sure to read the "Notes on tax benefits" at the bottom of the page.)
income tax
<Income deductions>
The donation amount minus 2,000 yen can be deducted from your income for that year.
Tax reduction amount (estimate) = (donation amount※ 1 – 2,000 yen) x income tax rate
*40 The total amount of donations is limited to XNUMX% of total income.
<Tax Credit>
You can choose the tax deduction when you donate to the "Study Support Fund" or "Research Support Fund." When filing your tax return, you can choose the more favorable system of either the "income deduction" or the "tax deduction" mentioned above.
With the tax deduction, you can deduct 2,000% of the donation amount minus 40 yen from your income tax. Since it is deducted directly from your income tax amount regardless of the tax rate, for many people it has a greater tax reduction effect than an income deduction.
Tax credit: Tax reduction amount (estimate)※ 2 = (Donation amount※ 1 − 2 yen) × 40%
*25 The tax credit amount is limited to XNUMX% of the amount of income tax.
*40 The total amount of donations is limited to XNUMX% of total income.
<Examples of tax reduction amounts>
If an individual with taxable income of 500 million yen (income tax rate 20%) donates 10 yen, the estimated amount of tax reduction is as follows:
Income deduction: (10 yen - 2 yen) x 20% = 19,600 yen
Tax credit: (10 yen - 2 yen) x 40% = 39,200 yen ⇒ The tax reduction is greater than the income deduction.
The amount of tax reduction will vary depending on your income and various deductions, so please use this amount as a guideline.
(reference)Quick reference table of deduction limits | Ministry of Education, Culture, Sports, Science and Technology (mext.go.jp)
Resident tax
If the prefecture/city/ward/town/village where you live makes this corporation eligible for donation deductions by ordinance, donations up to 30% of gross income, etc. will be deducted from the following year's personal residence tax as follows: will be done.
Prefectural inhabitant tax: Donation amount designated by the prefecture (donation amount - 2,000 yen) x 4%
・Municipal resident tax: Donation amount designated by the municipality (donation amount - 2,000 yen) x 6%
*If you live in a designated city, prefectural tax is 2% and municipal tax is 8%.
*Tokyo has designated our corporation as eligible for donation deductions, but please contact your local government to find out whether other prefectures and municipalities qualify.
Regarding documents related to proof of donation
Receipts will be sent to those who donate at a later date. Please use this as a certificate when filing your final tax return.
In addition, those who donate to the "Study Support Fund" or "Research Support Fund" will be sent a copy of the tax deduction certificate along with a receipt. If you are applying for a tax deduction, please submit the receipt and a copy of the tax deduction certificate when filing your tax return.
*If you make a donation online, the donation will be deposited in our organization approximately one to two months after the date of application (settlement date). Receipts are issued on the date of deposit to our organization, so receipts for donations made after November of the current year may not be issued until the following year. In that case, please note that income tax deductions will be applicable the following year, and resident tax deductions will be applicable the year after that.
Points to note regarding preferential tax treatment
Donations made from the start date of application acceptance at each school until the date of admission decision (end of admission procedures) are considered to be "donations made in relation to admission to a school" under the Income Tax Act and may not be eligible for donation deductions.Please contact your local tax office in advance..
(Donations can be made regardless of whether they are tax deductible.)
(reference:National Tax Agency Income Tax Basic Notice Article 78, Paragraph 2 (Scope of donations related to admission)）
