New Era for Furusato Tax: Tokyo Offers High-End Dining and Kyoto Adds Geisha Experiences

May 24, 2024 | News On Japan

TOKYO - The Garden Lounge at a hotel in Tokyo's Shinjuku Ward, featuring a grand chandelier and a high ceiling, is offering a unique experience as part of the furusato tax program.

The highlight is an afternoon tea enjoyed with a view of the lush garden, now available as a return gift for donations to Shinjuku Ward. Since the program started in October 2023, the afternoon tea voucher, offered for a 20,000 yen donation, has been highly popular.

Previously, return gifts for furusato tax donations were often local specialties from rural areas, leaving urban areas like Shinjuku with fewer appealing options. This led to a significant loss in tax revenue for central municipalities, with Shinjuku Ward's tax revenue decreasing by about 3.8 billion yen.

However, metropolitan municipalities are now entering the return gift competition, changing the landscape of the furusato tax system.

Source: FNN

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