(What is the grace system?)
The grace system for national taxes is that taxpayers will be granted grace of tax payment for up to one year by applying to the tax office if taxpayers are in special circumstances such as they are likely to face difficulty continuing business or maintaining standard of living by paying the national tax in a lump sum, or they have lost their assets due to disasters.
Under the current laws, there are "Grace of asset conversion (National Tax Collection Act Article 151 and 151-2)" and "Grace of tax payment (Acts on General Rules for National Taxes Article 46"). In addition, "Special grace of tax payment (Special grace)" has been established for taxpayers whose income has decreased considerably due to influence of the novel coronavirus disease.
Note: Methods of tax payment are followings:
(Requirements for "Special grace")
Taxpayers who meet both of the following requirements are eligible for special grace.
(Effects of "Special grace")
If taxpayers are granted special grace, delinquent taxes (interest on principal tax) will be fully discharged. In addition, taxpayers are not required to provide securities upon the application of the tax grace.
(Inquiries and consultations regarding the tax grace)
For general information regarding tax grace, please check the following leaflet and FAQ (Frequently Asked Questions). For inquiries regarding the grace system, please feel free to contact the Regional Taxation Bureau Grace Support Center which has jurisdiction over your address.
(How to apply for the grace of tax payment (Special grace))
Please download the file of "Application form for the grace of tax payment (Special grace)" from below, and submit it to the tax office (Note 2) which has jurisdiction over your address by the due date of the tax payment (Note 1) of the national tax which you apply for a tax grace.
Concerning how to fill out the application form, please refer to the video below. Also, please feel free to contact "the Regional Taxation bureau Grace Support Center".
In light of preventing the congestion of the tax office counter, we would appreciate it if you submit the application electronically by "e-tax", or by mail.
Note 1: If you have unavoidable reasons that you could not apply for special grace by the due date for tax payment, you can apply for it even when the covered national tax is already due.
Please feel free to contact your district tax office(the Collection group).
Note 2: If you have already been granted special grace for local taxes or social insurance recently (within about two months), you can skip the part about the details of your income and expenditure by attaching the relevant application forms or the notifications of grace, and the examination may be proceeded smoothly. And we advise you to keep a copy of the application form for national taxes if you plan to apply special grace for local taxes etc.
Note 3: You can find whereabouts of the tax office here (Japanese language) .
This video is linked with "the National Tax Agency Video Channels" at YouTube, and a separate window will open.
Please be aware that some contents in this video such as those of an application form etc. might differ from the latest ones.
(In the case special grace is granted)
In the case where special grace is granted to you, a "Notification of Grant of Grace" will be sent to you.
Regarding a payment, you need to pay your tax by using attached payment slips at financial institutions etc. by the end of the grace period. However, if it is difficult for you to pay your tax by the date, we may ask you about your situation adequately and grant other graces which you are eligible to be granted. Please feel free to contact your district tax office.
Note 1: In the notification, the fact that special grace under "Article 3 of the Act on Extraordinary Exception on National Tax Related Laws to Address the Impact of the Novel Coronavirus Disease" has been applied will be written.
Note 2: In the case you obtain a certificate of tax payment regarding the amount for the grace during the special grace period, it will be written that "you have been granted special grace under the provision of Article 46, paragraph 1 of the Act on General Rules for National Taxes, which applies by replacing its terms pursuant to the provisions of Article 3 of the Act on Extraordinary Exception on National Tax Related Laws to Address the Impact of the Novel Coronavirus Disease" in the "Remarks" space of the certificate.
Even when you are not eligible for the Special grace, you may be granted grace pursuant to the current grace system.
Please check following leaflet. Also, please feel free to contact the Regional Taxation Bureau Grace Support Center which has jurisdiction over your address.