Conditions for a household exempt from residence tax in 2026: Do you qualify? Income guidelines and a list of benefits
Every time there is news about a benefit payment, you hear the term "household exempt from residence tax." Beyond qualifying for benefits such as ¥30,000 or ¥50,000, being exempt lightens burdens in many corners of daily life — medical costs, insurance premiums, education expenses, and more — so many people wonder, "Do I qualify?" This article organizes, based on the 2026 (Reiwa 8) fiscal-year rules, up to what income you are exempt (an income guideline), how the judgment works, and a list of the benefits you can receive, drawing on primary sources from the Ministry of Internal Affairs and Communications and local governments.
・A "household exempt from residence tax" = a household where the residence tax of every member (both the per-capita levy and the income-based levy) is zero
・The guideline is salary income of ¥1.1 million or less for a single person (from FY2026 it rose from ¥1 million to ¥1.1 million). For someone aged 65 or over with pension income only, ¥1.55 million or less for a single person
・The more dependent family members you have, the higher the line rises. However, because the standard changes with the area (grade class) where you live, always confirm the final judgment with your local government
What is a "household exempt from residence tax" in the first place?
Residence tax has two parts: the "per-capita levy" (a fixed amount regardless of income; around ¥5,000 a year) and the "income-based levy" (charged according to income). "Exempt from residence tax" means the state in which both of these are zero.
And a "household exempt from residence tax" means that every member of the same household on the resident register is exempt from residence tax. If even one person is paying residence tax (for example, a working family member), that household is not an exempt household. This is a point often misunderstood in the context of benefit payments.
[FY2026 change] The exemption "wall" has risen
Under the 2025 (Reiwa 7) tax reform, the minimum salary income deduction was raised from ¥550,000 to ¥650,000, and this is reflected in residence tax from FY2026 (Reiwa 8)[Nagoya City (in Japanese)]. As a result, the guideline salary income at which a single person becomes exempt rose from ¥1 million to ¥1.1 million — up by ¥100,000.
A single person is exempt from residence tax if their total income for the previous year is ¥450,000 or less. In the case of salary income, you subtract the ¥650,000 salary income deduction, so ¥1.1 million − ¥650,000 = ¥450,000. In other words, salary income up to ¥1.1 million is exempt (up to FY2025 the deduction was ¥550,000 and the guideline was ¥1 million).
Income guidelines by household composition (salary income)
If you have dependent family members, the exemption line rises according to their number. The table below is an approximate guideline of salary income for grade-class 1 (Tokyo's 23 wards, major cities, etc.), FY2026.
| Household composition | Salary income guideline (grade-class 1) |
|---|---|
| Single (no dependents) | ¥1.1 million or less |
| Married couple (spouse as dependent) | about ¥1.66 million or less |
| Couple + 1 child (3 people) | about ¥2.06 million or less |
| Couple + 2 children (4 people) | about ¥2.56 million or less |
The exemption limit changes with your local government's grade classification (grade classes 1–3). Grade classes 2 and 3 are lower than the table above (for example, a single person: grade class 1 ¥1.1 million / grade class 2 about ¥1.065 million / grade class 3 about ¥1.03 million). Since these are only guidelines, always confirm the exact standard with the municipality where you live.
Guideline for pension income only
When your income is public pension only, the deduction differs from salary, so the guideline also changes (grade class 1).
| Household composition (age 65+, pension only) | Pension income guideline (grade-class 1) |
|---|---|
| Single | ¥1.55 million or less |
| Married couple (spouse as dependent) | about ¥2.11 million or less |
* For those aged 65 or over, the public pension deduction is a minimum of ¥1.1 million, so for a single person the guideline is ¥1.1 million + ¥450,000 = ¥1.55 million. For those under 65 the deduction is lower, so the guideline is lower too. On the relationship between pensions and taxes, see also Taxes on pensions and tax filing.
People with disabilities, single parents, etc. have a special line
People who qualify as a person with a disability, a minor (as of January 1 of that year), a widow, or a single parent are exempt from residence tax if their total income for the previous year is ¥1.35 million or less. For salary income, the guideline is about ¥2.04 million or less. This is a special provision for the individual, separate from the household-size formula above.
[Mechanism] The per-capita levy and income-based levy have different "exemption lines"
This is a somewhat fine point, but it matters in the judgment of benefit payments. The per-capita levy and the income-based levy have different exemption standards, and because the per-capita levy is stricter (a lower line), to become a "household exempt from residence tax" you must satisfy the per-capita levy standard.
Per-capita levy exempt: ¥350,000 × (the person + a spouse in the same livelihood + the number of dependent relatives) + ¥100,000 + ¥210,000 (added only if there are dependent family members)
Income-based levy exempt: ¥350,000 × (the same number of people) + ¥100,000 + ¥320,000 (added only if there are dependent family members)
* In grade class 2, ¥350,000 becomes ¥315,000; in grade class 3, ¥280,000. The added amounts also change by grade class.
Because the added amounts differ — ¥210,000 for the per-capita levy and ¥320,000 for the income-based levy — depending on income, it can happen that "the income-based levy is zero but the per-capita levy is charged." In that case you are paying residence tax, so you are not an exempt household. Remember that "income-based levy exempt" and "residence tax exempt (= per-capita levy also exempt)" are different things. The overall mechanism of residence tax is explained in How residence tax works and is calculated.
List of the main benefits an exempt household can receive
Becoming a household exempt from residence tax not only makes your tax zero but also qualifies you for a wide range of benefits like the following (the target scope and conditions differ by program).
| Field | Main content of the benefit |
|---|---|
| Benefit payments | "Exempt households" are often the target of anti-inflation benefit payments and the like (in the past, ¥30,000 per household, etc.) |
| Medical (high-cost medical expense benefit) | The self-pay cap for those under 70 becomes ¥35,400 a month (¥24,600 for multiple applicable months). Much lighter than the general bracket[MHLW (in Japanese)] |
| Meal costs during hospitalization | The standard self-pay amount per meal is reduced |
| National Health Insurance / long-term care insurance premiums | The per-capita and per-household portions are reduced by 70% / 50% / 20% according to income. Long-term care premiums are reduced too |
| Childcare fees for ages 0–2 | Households exempt from residence tax are free (ages 3–5 are free regardless of income)[Children and Families Agency (in Japanese)] |
| University / vocational school (higher education) | Under the new higher education support system, exempt households receive full tuition reduction/exemption plus a full grant-type scholarship (Category I)[MEXT (in Japanese)] |
| National Pension premiums | Upon application, likely to qualify for full or partial exemption |
| NHK reception fee | Being exempt alone does not mean exemption. Full or half exemption applies if conditions are met, such as a household member holding a disability certificate |
* Amounts and requirements change with system reforms and by local government. See also The high-cost medical expense benefit system, Calculating National Health Insurance, and Exemption and deferral of National Pension premiums.
How to check whether you qualify
① Look at the residence tax notice that arrives around June each year (the assessment notice / tax statement). If both the per-capita levy and the income-based levy are "¥0," you are exempt
② For how to read the notice, see How to read the residence tax assessment notice
③ Confirm that every household member is exempt (all members of the same household on the resident register are covered)
④ If unsure, obtain a "residence-tax exemption certificate" at your municipal counter to be certain
Even people with no or little income will not be judged as "exempt" unless they file a residence tax declaration (or a declaration that they are a dependent), and may find that an exemption certificate is not issued or that they miss out on being a benefit-payment target. Even those with no income who have not filed an income tax return should file a residence tax declaration with the municipality where they live.
Summary
FAQ
What income makes a household exempt from residence tax?
For a single person, the guideline is salary income of ¥1.1 million or less (from FY2026 the raised salary income deduction changed it from ¥1 million to ¥1.1 million). It rises if you have dependent family members: in grade class 1, the guideline is about ¥1.66 million for a married couple and about ¥2.06 million for a couple with one child. For someone aged 65 or over with pension income only, the guideline is ¥1.55 million or less for a single person, but the standard changes by area (grade class), so please confirm with your local government.
If "the income-based levy is exempt," is it an exempt household?
No. A household exempt from residence tax requires that both the per-capita levy and the income-based levy be zero, and because the per-capita levy has a stricter standard, even if only the income-based levy is zero, the household is not exempt if the per-capita levy is charged. Every household member must have both the per-capita and income-based levy at zero.
Do people with disabilities or single parents have a different standard?
Yes. People who qualify as a person with a disability, a minor, a widow, or a single parent are exempt from residence tax if their total income for the previous year is ¥1.35 million or less (about ¥2.04 million or less for salary income), separate from the household-size formula.
What is the advantage of becoming an exempt household?
Besides being likely to qualify for anti-inflation and other benefit payments, there are benefits such as: a lower self-pay cap for the high-cost medical expense benefit, reduced National Health Insurance and long-term care premiums, free childcare fees for ages 0–2, full tuition reduction and a full grant-type scholarship for higher education such as university, and being likely to qualify for exemption from National Pension premiums. The NHK reception fee is not exempted merely by being tax-exempt; additional conditions such as holding a disability certificate are required.
Are procedures needed even with no income?
Yes. Even with no or little income, if you have not filed a residence tax declaration, you will not be judged exempt, and an exemption certificate may not be issued or you may miss out on being a benefit-payment target. Even those with no income who have not filed an income tax return should file a residence tax declaration with the municipality where they live.
Reference links (sources)
This article is based on the following materials (as of July 2026). Because exemption limits differ by grade class, local government, and fiscal year, always confirm the final judgment with the municipality where you live.
- Nagoya City — Individual residence tax reform applied from Reiwa 8 (in Japanese)
- Ministry of Internal Affairs and Communications — Individual residence tax (in Japanese)
- Ministry of Health, Labour and Welfare — High-cost medical expense benefit system (in Japanese)
- Ministry of Education, Culture, Sports, Science and Technology — New higher education support system (in Japanese)
- Children and Families Agency — Free early childhood education and childcare (in Japanese)
* This article is general information, not tax or administrative-procedure advice. For the exemption judgment and eligibility for each benefit, please confirm with the municipality where you live or the relevant agency.