Key Facts
• Hometown tax gains attention as a cost-saving measure amid rising prices.
• Ministry of Internal Affairs and Communications released FY2024 donation rankings.
• Top prefectures: Hokkaido (1st), Miyazaki (2nd), Hyogo (3rd, ¥582 billion).
• Kansai region rankings: Osaka (10th, ¥396 billion), Wakayama (19th, ¥230 billion), Kyoto (20th, ¥228 billion), Shiga (26th, ¥175 billion), Nara (46th, ¥44 billion).
• Takarazuka City, Hyogo Prefecture, ranked 1st among municipalities with ¥257 billion.
• A local couple’s ¥254 billion donation for hospital reconstruction boosted Takarazuka’s ranking.
• Osaka’s Izumisano City (3rd, ¥182 billion) and Kyoto City (12th, ¥115 billion) also ranked high.
• Popular return gifts include beef tongue, towels, craft beer, New Year dishes, sake, and sweets.
• Nara Prefecture avoided last place by increasing donations by ¥8 billion, aided by tourism-focused return gifts.
• Donations typically peak in December but are expected to shift to September in 2025.
• The shift is due to a ban on donation platforms offering points starting October.
Summary
Hometown tax programs are gaining popularity as a way to save money amid rising costs. In FY2024, Hyogo Prefecture ranked 3rd in total donations, with Takarazuka City leading municipalities at ¥257 billion, largely due to a significant donation for hospital reconstruction. Other top municipalities include Izumisano City and Kyoto City, known for their appealing return gifts like local delicacies and crafts. Nara Prefecture improved its ranking by introducing tourism-focused return gifts. Donations, typically concentrated in December, are expected to peak in September this year due to an upcoming ban on point-based donation platforms starting in October.
