News Details


New Measures for Unmarried Single-Parents and Revised Deductions for Widows / Widowers

List of news

1. Introduction
One of the major points in Japan’s Tax Reform 2020 is an introduction of tax measures for unmarried single-parents and the accompanying revision of deductions for widows / widowers. This reform aims to eliminate unfairness by marital history and unfairness between male and female single-parents. In this News, we will mention the deduction for unmarried single parents. The new tax measures will be applied from the 2020 year-end adjustment.

2. Deduction for unmarried single-parents (JPY350,000 deducted from income)
A new tax relief is applied to all single parents irrespective of marital history, or male / female.
Eligible persons
A person who has divorced or whose spouse is dead
A person who is not clear about whether his/her spouse is alive or not 
A person who is not married at present (newly added)

Requirements for deduction
A person whose total income is JPY5,000,000 or less (newly added)
A person who is not in a de-facto state of marriage (newly added)
A person who has dependents living in the same household with the total income of JPY480,000 or less

3. Points to notice in the 2020 year-end adjustment 
Since there is no column for “single parent” in the Application for (change in) Exemption for Dependents of Employment Income Earner for 2020, you need to rewrite the column of “special widow” to “single parent.” Otherwise, the application for 2021 can be used by adjusting it to the 2020 version. It is also recommended to inform employees of the new tax relief and make sure whether some of them are eligible.

4. Conclusion
In addition to the above, the 2020 Tax Reform includes not only the amendment of basic deduction and employment income deduction but also the introduction of the deduction of amount of income adjustment. It is recommended to prepare this year’s year-end adjustment more carefully and promptly than ever, corresponding to expected inquiries from employees. 

References (Japanese)
Ministry of Finance “2020 Tax Reform (Issued in March 2020)” 
Accessed on September 28, 2020 

National Tax Agency “FAQ Tax Measures Regarding Unmarried Single Parents and Widow / Widowers (Withholding Income Tax)May 2020”
Accessed on September 28, 2020