 |
|
|
| Exemption for Small Residential Land (Shokibo Takuchi no Tokurei) |
The inheritance tax in Japan can be quite significant as the threshold for being subjected to payment is low. There are certain exemptions, and etc. that are available in Japan that you might qualify for in order to be able to reduce your inheritance tax payment.
An exemption that is available in Japan is the Exemption for Small Residential Land (i.e. Shokibo Takuchi no Tokurei). This exemption permits a reduction in value of land by 80% on which the home in which the deceased resided in during his/her lifetime existed. This exemption can be applied to land that measures up to a maximum of 330 square meters, and can be used when a surviving spouse or a family member that resided together with the deceased succeeds to residential land that the deceased resided on during his/her lifetime. It is important to note that this exemption only applies to land that the deceased used for his/her residence during his/her lifetime.
|
| |
| Requirements that must be met for the Exemption above to apply |
The exemption above can be applied only when the following individuals succeed to/inherit the land of the deceased.
- Surviving Spouse – The exemption above can be applied to a surviving spouse without any restrictions, who resided together with the deceased spouse on the land in question.
- Family Members that resided together with the deceased – The exemption above can be applied to family members (such as relatives) that resided together with the deceased during the deceased’s lifetime on the same residential land. In Japan, grandparents that live together with their sons and daughters (and their children) in a two-story house, for example, can often qualify for this exemption.
- Family Members that did not reside with the deceased, who lived for over 3 (“three”) years in a rented home separate from that of the deceased can also use the exemption above, provided that no surviving spouse or family member that resided together with the deceased exists at the time of the death of the deceased.
|
| |
| Conclusion |
| As there are different ways by which you might be able to reduce your inheritance taxes in Japan, it is a good idea to talk to your tax and legal professionals early to determine ways by which you might be able to reduce your tax liability at the time of your death. |
| |
|
| |
|
| I started a podcast for the Hongo Law Office, LLLC! |
|
|
|
I started a podcast for the Hongo Law Office, LLLC!
While I will mainly discuss estate planning/administration issues by myself each month, I also welcome guests on my podcast. I am now inviting anyone to be on my show. Please email me at yuka.hongo12@gmail.com if any of you might be interested in appearing as a guest on my show!
In this 15th episode, we speak to Mr. Teppei Hori, a lawyer who is doing very interesting things in the area of real estate. We talk about how he started out developing small apartment buildings in Tokyo. He then branched out to hotels and timeshare-style accommodations at well-known Japanese beach resorts and now also in Hawaii.
Mr. Hori's timeshare company is unusual in that the properties are small and the ownership value is increasing instead of decreasing. I think Mr. Hori's story is a great example of how you can blend the knowledge of being a lawyer with another business idea or interest. Make sure you listen to how Mr. Hori likes to spend his free time!
Episode Link |
|
|
|
| |
|
| Client Comments |
| "Lawyers in the U.S. can be difficult to talk to at times, but I think people find it easy to talk to Ms. Hongo. I also like the fact that Ms. Hongo follows up with her clients on a timely basis." |
| Sachiko Trillo, Honolulu |
|
|
| "Hongo Tsuji Tax & Consulting, our accounting firm, introduced me to Ms. Hongo. I consulted her with regards to estate planning, and I appreciated the fact that she took care of our documents in a timely manner." |
| K.A., Tokyo |
|
|
| |
|
| "I appreciated Ms. Hongo's professional expertise and the kind way in which she took care of our matter. I am truly happy that she helped us." |
| Mitsuko Seto, Osaka |
|
|
| "Ms. Hongo not only prepared my trust, but also took care of legal matters involving my company. Her fee is reasonable and she follows up with you in a timely manner." |
| S. Suzuki, Company Owner |
|
|
| |
|
| "Ms. Hongo took care of our matter in a kind manner. We liked the fact that her office was located in Waikiki, near our home." |
| Sugiyama, Waikiki |
|
|
| "I became a successor to 2 condominiums that my wife owned in Hawaii, after my wife passed away. Ms. Hongo took care of our probate matter in a short timeframe of 1 year. We feel very grateful to her." |
| Shuichi Sakamoto, Nasu |
|
|
| |
|
| "Our clients were very satisfied with Ms. Hongo's service because she was able to explain matters such as probate in an easy-to-understand manner. Ms. Hongo is someone we can rely on for any matter." |
| Noboru Ohhashi, List Sotheby's, Tokyo |
|
|
| "Given that the U.S. real estate recording process and its pertaining laws differ from those of Japan, and it is difficult to learn about them in English, I appreciated Ms. Hongo being able to explain them to me in an understandable manner. I would like to seek her help in the future for other matters." |
| K. Iwasaki, Honolulu |
|
|
| |
|
| "Ms. Hongo helped me with the estate planning for my real estate in Hawaii. I was glad she was able to help me during her visit in Japan." |
| S.T., Kawasaki |
|
|
| "It was our long-term goal to prepare a trust for our family. We are now able to take the next step in our lives, as Ms. Hongo applied her proficient bilingual skills to efficiently take care of our matter. We are very grateful for what she did for us." |
| A.P., Honolulu |
|
|
| |
|
| |
| Attorney Yuka Hongo has been included as an honored listee in Marquis Who's Who for 2024. Marquis has chronicled the lives of accomplished individuals and innovators since 1898. |
|
|
|
|
| |
|
| |
| Hongo Law Office LLLC is proud to have been acknowledged as one of the "Best Probate Attorneys in Honolulu for 2026" by Expertise.com. |
|
|
|
|
| |
|
| |
| Attorney Yuka Hongo has been named a 2026 Elite Lawyer in the area of Estate Planning in Hawaii. The award recognizes attorneys who have displayed a high level of competence in their practice. |
|
|
|
|
| |
|
| You're invited to call or email |
"If you have questions about estate planning and administration, please don't hesitate to call. I'll be glad to hear from you." – Yuka
Call (808) 237-9944 or email yuka.hongo12@gmail.com |
|
|
|
|
|
| Meet Yuka Hongo, Esq. |
| Yuka Hongo is a respected estate planning attorney based in Honolulu, Hawaii. She has practiced law for 10 years and is fluent in both English and Japanese. |
|
|
| |
|
Practice Areas: Yuka represents clients in matters related to estate planning such as the preparation of Trusts, Wills, and the Transfer on Death Deed. She also provides services in the area of estate administration, including probate.
Education: In 2000, Yuka graduated from Oberlin College (Oberlin, OH), where she earned a Bachelor of Arts Degree in Economics and East Asian Studies. In 2004, she graduated from Loyola Law School (Los Angeles, CA), where she earned her Juris Doctor Degree. In 2022, Yuka graduated from Keio University (Tokyo, Japan) where she earned a Master of Laws Degree.
Court Admissions and Bar Memberships: Yuka is a member of the Hawaii, California, New York, Washington, and the District of Columbia Bar Associations. Yuka is a member of the Advisory Committee for the Hawaii Tax Institute Program.
Additional Qualifications: Yuka is a Certifying Acceptance Agent who can obtain the ITIN tax number for foreigners in the U.S. In addition, she is a Life Insurance Agent and a licensed Notary Public in the State of Hawaii. Also, Yuka is fully bilingual in Japanese and English and has in-depth legal work experience working with both languages.
Multicultural Background: Yuka has experience living and working in both the U.S. and Japan and has a thorough understanding of both cultures in these two countries. In addition, she loves working with people from other multicultural backgrounds and working on international matters.
Educational Presentations: Yuka has presented seminars in Japan and in the U.S. relating to various estate planning/estate administration issues.
Residence & Interests: Yuka lives in Honolulu, Hawaii and is single. She enjoys scoping out new eateries and restaurants. |
| |
| Add a friend to our list |
If you have a friend or colleague who would like to receive this newsletter, please give us the person's name and email address and we'll add them to our distribution list. Thanks.
You can also connect with Yuka on LinkedIn, X and YouTube. |
|
|
|
| |
|
|
|
|
