Japan Mortgage Tax Credit Simulator

2022

For 2022–2023 move-ins, the rate is 0.7%. New / qualifying renovated resale caps: certified ¥50M, ZEH ¥45M, energy-standard ¥40M, other ¥30M, for 13 years. Ordinary existing homes: certified/energy categories ¥30M, other ¥20M, for 10 years. Old-contract 1% transitional rules for some 2022 move-ins are outside this calculator.

2024

For 2024–2025, new / qualifying renovated resale certified, ZEH and energy-standard caps are ¥45M / ¥35M / ¥30M normally, or ¥50M / ¥45M / ¥40M with the family uplift, for 13 years. Other new homes are generally excluded, with transitional rules. Other qualifying renovated resales: ¥20M / 10 years. Ordinary existing-home caps remain unchanged.

2026

Extended through 2030 move-ins. Energy-efficient existing homes gained 13 years, revised caps and family uplifts. The 40 m² relaxation expanded to existing homes. Related legislation passed March 31, 2026.

2028

Energy-standard new homes are normally excluded. Confirmation by end-2027 or construction by June 30, 2028 can retain ¥20M / 10 years, without an uplift. Certain disaster-red-zone new homes are excluded, with rebuild and other exceptions.

2030

The enacted move-in deadline is December 31, 2030. This calculator makes no assumption about a new regime for 2031 onward.

MLIT: current and past rules / Enactment notice / July 2026 Q&A (PDF)

• Normally: registered area of at least 50 m² and annual total income up to ¥20M. From 2026, new and existing homes from 40 to under 50 m² can qualify if that year’s total income is no more than ¥10M.
• For move-ins from 2026, family status does not permit an uplift below 50 m²; the normal cap applies. This differs from the small-new-home rules for 2024–2025 move-ins. Income limits are checked annually, so an increase can make a particular year ineligible.
• A qualifying loan must have a repayment term of at least 10 years. Loans from relatives and certain low-interest employer loans do not qualify. Extra repayments that shorten the original repayment span below 10 years can affect relief.
• At least half the floor area must be exclusively your residence. A home office can require apportioning the qualifying amounts by residential use, with special treatment at 90% or more.

NTA: new-home eligibility / Existing-home eligibility / Qualifying loans

• Certified homes need the relevant long-life or low-carbon certification. ZEH-level homes generally require insulation grade 5+ and primary-energy-consumption grade 6+; energy-standard homes require grade 4+ for each. Verify documents rather than relying on marketing names or solar panels. From 2026, the energy-standard category also includes qualifying climate-adapted homes.
• An existing home generally needs to have been built on or after January 1, 1982, or have the required seismic evidence. Older homes can qualify through specified seismic renovation and pre-acquisition applications. Check certificate timing and renovation conditions in the official guidance.
• Qualifying renovated resale is more specific than buying any used home from an agent. Conditions include a home at least 10 years old, purchase within two years of the trader’s acquisition, renovation costs of at least 20% of the sale price (capped at ¥3M for this test), and specified types of work. Confirm eligibility and evidence with the seller.

NTA: performance / Existing homes and seismic standards / Renovated-resale requirements

The eligible year-end balance is limited by your borrowing, your acquisition share net of subsidies/tax-exempt gifts, and the statutory borrowing cap, with residential-use adjustments. Multiplying by 0.7% and rounding down to ¥100 gives the annual statutory credit.

The credit first reduces income tax. The remainder may reduce the following year’s income-based resident tax, limited by 5% of the relevant income-tax taxable amount, ¥97,500, and available income-based resident tax. Per-capita/forest taxes are unaffected. Any amount unused in either tax is lost, without carryforward.

For move-ins through 2025, the resident-tax cap from fiscal 2026 has an adjustment related to income-tax basic-deduction reforms. It differs from the rule for move-ins from 2026. This estimate uses the basic deduction you enter.

For move-ins from 2026 with zero income tax before the housing credit, this model also applies zero resident-tax housing credit. Earlier move-ins have separate adjustments. Individual ordering and interaction with other tax credits are not calculated. Verify how much tax is actually available for the housing credit.

NTA: qualifying amounts / Kyoto City: resident-tax credit calculation / NTA: 2026 income-tax reforms (PDF)

Even employees must file a tax return for the first year. From the second year, eligible employees can claim through employer year-end adjustment with the required documents. Salaried company directors generally follow the same process. People who must file returns, including many business owners, continue claiming in the return.

This is a personal income-tax credit. It does not directly reduce corporate tax or apply to corporate-owned housing or business revenue. For paired loans, each spouse needs their own ownership, allocated debt, income and tax assessment; simply splitting a loan does not establish entitlement to two caps.

Check performance certificates, year-end loan evidence and registry documents. Tax-exempt housing gifts can affect the eligible cost. Restrictions on certain previous-home sale relief, including the ¥30M gain deduction, generally cover the move-in year, two preceding years and three following years. Loans from your company to you as a director and special acquisition, occupancy, disaster, transfer and inheritance cases need individual review.

NTA: filing and documents / MLIT: combining tax reliefs