If the house meets the same floor area and other requirements as described in the Special Provisions for Tax Base on Acquisition of Certain Residential Property and the acquisition of land meets one of the requirements in the table below, the larger amount of either 1. or 2. can be deducted from the tax for the residential land.

1. 45,000 yen
2. Assessed value per square meter of site*1 x 2 times the floor area of the house (up to a maximum of 200 square meters) x 3%*2

*1 For residential land, the amount after applying the special exception to the tax base until March 31, 2024.
*2 Tax rate until March 31, 2024 under the special exception for reduced tax rates for land and housing acquisitions

In principle, the collection of real estate acquisition tax is deferred if a new residential house is built within three years of the acquisition of the land.

• When a new house is built after the acquisition of land:

A new house is built within 3 years of the date of acquisition of the land. 
(Provided that the land acquirer holds the land until a new house is built or the new house is built by the person who acquires the land from the land acquirer.)
* However, if certain unforeseeable circumstances arise that make it difficult to acquire the property within three years as stipulated by the government ordinance, the period will be extended to four years (until March 31, 2024).

• When a new house is built before the land is acquired:

The leaseholder acquires the land on which the house is located within one year of construction.

• When land and a house are acquired after the house is newly built:

A house that hasn't been used since being built and its grounds must be acquired by the same person within one year of construction.

• When an existing house is acquired after the acquisition of land:

The land acquirer acquires a house on the land within one year.
​(This also applies to cases where an existing house that does not conform to the new earthquake-proof standard is acquired and renovated within 6 months of acquisition to conform to the earthquake-proof standard (see Note 2 above)).

• When you had acquired an existing home before the acquisition of the land:

A person who acquired a house on leased land acquires the land on which the house is located within one year thereafter.
​(This also applies to cases where an existing house that does not conform to the new earthquake-proof standard is acquired and renovated within 6 months of acquisition to conform to the earthquake-proof standard (see Note 2 above)).

Assessed value of fixed assets (tax base) x Tax rate = Tax amount 　➡　Final tax amount

Notes:
​Assessed value of fixed assets 
Residential land: Special exception to halve the taxable base
Housing: Deduction available under certain conditions
Tax rate
Reduced from 4% to 3%.
Tax amount
Reduction measures are available for certain residential land.

Real estate acquisition tax is a tax paid when real estate is acquired. In principle, the tax amount is calculated by multiplying the assessed value of fixed property by a tax rate of 4%. In the case of a newly constructed building that has not yet been assessed for property tax, the value of the building is calculated based on the standards for calculating the value of fixed property by the prefectural governor. The principle method of determining the tax amount is as follows.

The tax rate applicable to the acquisition of land and housing is subject to a special tax rate of 3% until March 31, 2024.

Eligible property　 ・・・　Land and housing
Basic tax rate 　・・・　4.0%
​Until March 31, 2024　・・・　3.0%

If residential land is acquired by March 31, 2024, the tax base for residential land will be reduced by one-half.

For houses that meet the requirements shown in the table below, the amount shown in the "Deduction Amount" section will be deducted from the assessed taxable value:  tax base = assessed taxable value - deduction amount

Types of houses 
1. New housing (Note 1)
Requirement(s): Floor area of 50 ㎡ or more but less than 240 ㎡.
(40 ㎡ to 240 ㎡ or more for rental housing other than single-family houses)
Amount deducted: 12 million yen
(13 million yen for certified excellent long-term housing, but only until March 31, 2024)

2. Existing (used) housing (Note 2 & 3)
Requirement(s):
(1) Floor area of 50 ㎡ to 240 ㎡ or more
(2) To be used for one's own residence
(3) One of the following is applicable

• Built on or after January 1, 1982
• Certified by an architect within two years prior to the date of acquisition as conforming to the earthquake safety standards stipulated in the Building Standards Law (Including homes sold within 2 years of purchasing Existing Home Sales Defects Insurance)

Date built: July 1, 1954 to December 31, 1963　⇒　Amount deducted: 1 million yen
Date built: January 1, 1964 to December 31, 1972　⇒　Amount deducted: 1.5 million yen
Date built: January 1, 1973 to December 31, 1975　⇒　Amount deducted: 2.3million yen
Date built: January 1, 1976 to June 30, 1981　⇒　Amount deducted: 3.5million yen
Date built: July 1, 1981 to June 30, 1985　⇒　Amount deducted: 4.2 million yen
Date built: July 1, 1985 to March 31, 1989　⇒　Amount deducted: 4.5 million yen
Date built: April 1, 1989 to March 31, 1997　⇒　Amount deducted: 10 million yen
Date built: On and after April 1, 1997    ⇒　Amount deducted: 12 million yen

(Note 1) Taxation on residential high-rise buildings (tower condominiums, etc. exceeding 60 meters in height)

1. In the case of acquiring the exclusive use portion (for residential use) of a building such as a tower condominium with a height exceeding 60 meters in which residential units are located on more than one floor, the real estate acquisition tax - which is imposed by deeming the acquisition of a house with a value equivalent to the amount obtained by proportionally dividing the assessed value of the building by the floor area ratio of the exclusive area - is corrected by the "exclusive floor area correction rate by floor area" to reflect the trend of changes in the transaction unit price per floor area due to differences in the floor area of the exclusive area by the floor level where the units are located.
2. Eligible tower condominiums are new residential high-rise buildings taxable on and after April 2018.
3. The correction rate for exclusive floor area by floor level is 100 + 10/39 x (N-1) for the number of N floors.

(Note 2) Special exception for reduction for acquisition of existing Houses nonconforming to seismic standards

1. If you acquire an existing (used) house that does not conform to the earthquake resistance standards, make improvements to it within 6 months of acquisition, and move into it after receiving certification that it conforms to the earthquake resistance standards, under the "Special Exception for Tax Base on Certain Housing Acquisitions" for existing (used) housing, the deductible amount determined by the date built will be reduced from the tax due by multiplying by the tax rate.
2. If you acquire an existing house that does not conform to the earthquake resistance standards and also its site, the "Special Exception for Reduction in Value of Land for Residential Use" will also apply to the site.

(Note 3) There are measures designed to reduce the real estate acquisition tax imposed on the buyer-reseller when the buyer-reseller purchases an existing (used) house, makes improvements to certain housing quality, and then resells the house.

Registration and license tax is a tax imposed when registering land, buildings, etc. For ownership registration, the tax amount is calculated by multiplying the assessed taxable value of the property by the designated tax rate. The amount of tax for mortgage registrations is calculated by multiplying the amount of the claim (the amount of the mortgage or other loans) by the designated tax rate. ​Tax payment is to be made when applying for registration. If the building is newly constructed and does not yet have a property tax assessment, the assessed value is calculated based on the New Building Value Approval Standard Table by the Legal Affairs Bureau.

• Tax amount (for land and buildings) = assessed taxable value of fixed property (tax base*) x designated tax rate
• Tax amount (for mortgages) = amount of claim (tax base*) x designated tax rate

​*The tax base is the amount or quantity directly subject to tax calculation.

In the case of the registration of a house with a floor area of 50㎡ or more, the reduced registration and license tax rate will be applied if the house is certified by the mayor of the municipality where the house is located as meeting the requirements in the table below.
Further special measures are available for Certified Long-term Quality Housing*1 and Certified Low Carbon Housing*2.
*1 Long-term quality housing certified under the provisions of the Act on Promoting the Development of Long-Term Quality Housing, hereinafter referred to as "Certified Long-Term Quality Housing.
*2 Low-carbon housing certified in accordance with the provisions of the Act Concerning the Promotion of Low Carbon Emission in Urban Areas, hereinafter referred to as "Certified Low Carbon Housing". It includes housing that is a specified building to be developed through a certified intensive urban development project that is deemed to be a certified low-carbon housing.

Types of registration (1-3)
1. Registration of preservation of ownership　・・・　0.4% (Basic tax rate)

• Requirements to qualify for the reduced tax rate

Eligibility Requirements (Special Taxation Measures Law)
(1) Be private individuals.
(2) Acquire between April 1, 1984 and March 31, 2024 a newly built house or a house that has not been used since its construction and use it for one's own residence.
(3) Register it within a year of construction or acquisition.​
Housing Requirements (Special Taxation Measures Law Enforcement Order)
In the case of a newly built house:
(1) Private housing with a floor area of 50㎡ or more

• Reduced tax rate until March 31, 2024　・・・　0.15% 
• Special Exception for Certified Long-Term Quality Housing*1　・・・　0.1% 
• Special Exception for Certified Low Carbon Housing*2　・・・　0.1% 

2. Registration of transfer of ownership　・・・　2.0% (Basic tax rate)

• Requirements to qualify for the reduced tax rate

Eligibility Requirements (Special Taxation Measures Law)
(1) Be private individuals.
(2) Acquire between April 1, 1984 and March 31, 2024 a house that has not been used since its construction or a house that has been used since its construction -which is specified by a Cabinet Order - and has been used for one's own residence.
(3) Register it within a year of acquisition.
Housing Requirements (Special Taxation Measures Law Enforcement Order)
In the case of a newly built house:
(1) Private housing with a floor area of 50㎡ or more
In the case of  an existing (used) house:
When either (1), (2)-1, or (2)-2 below applies, the tax rate will be reduced.
(1) Individual residences with a floor area of 50 ㎡or more
(2)-1 Those whose construction date on the registry is January 1, 1982 or later.
(2)-2 Those that comply with the earthquake safety standards stipulated in the Building Standard Law and other regulations.

• Reduced tax rate until March 31, 2024　・・・　0.3% *3
• Special Exception for Certified Long-Term Quality Housing　・・・　0.1%  (a detached house: 0.2%)
• Special Exception for Certified Low Carbon Housing　・・・　0.1% 

3. Registration of mortgage　・・・　0.4% (Basic tax rate)

• Requirements to qualify for the reduced tax rate

Eligibility Requirements (Special Taxation Measures Law)
(1) Be private individuals.
(2) Acquire between April 1, 1984 and March 31, 2024 a newly built house, a house that has never been used since its construction, or a house that has been used since its construction - which is specified by a Cabinet Order - and has been used for one's own residence as specified by a Cabinet Order, and the registration is for the purpose of securing loans necessary for the acquisition of the residential house from a financial institution.
(3) Register it within a year of construction or acquisition.
Housing Requirements (Special Taxation Measures Law Enforcement Order)
In the case of a newly built house:
(1) Private housing with a floor area of 50㎡ or more

• Reduced tax rate until March 31, 2024　・・・　0.15% 
• Special Exception for Certified Long-Term Quality Housing*1　・・・　0.1% 
• Special Exception for Certified Low Carbon Housing*2　・・・　0.1% 

In the case of  an existing (used) house:
When either (1), (2)-1, or (2)-2 below applies, the tax rate will be reduced.
(1) Individual residences with a floor area of 50 ㎡or more
(2)-1 Those whose construction date on the registry is January 1, 1982 or later.
(2)-2 Those that comply with the earthquake safety standards stipulated in the Building Standard Law and other regulations.

• Reduced tax rate until March 31, 2024　・・・　0.1%

*1*2 The special provisions for Certified Long-term Quality Housing and Certified Low Carbon Housing are applicable when a private individual builds a new Certified Long-term Quality Housing or Certified Low Carbon Housing within a certain period or acquires one that has never been used after construction, uses it for the individual's residence, and registers the preservation of ownership or the transfer of ownership within a year of acquisition.
*3 If a private individual acquires an existing residential building for which certain additions, alterations, etc. have been made by a real estate agent between April 1, 2014 and March 31, 2024, the tax rate for the registration of ownership transfer of the residential building will be reduced to 0.1% when the registration is made within a year of acquisition.

The registration and license tax for the transfer of ownership of land is reduced by a time-limited measure.

Registration of transfer of ownership of land
Basic tax rate　・・・　2.0% 
​From April 1, 2013 to March 31, 2023　・・・　1.5% 

When purchasing a house from a real estate company or building a house, as a general rule, consumption tax is imposed on the price as the taxable base. Land is exempt from taxation, but buildings are taxable. In principle, buildings sold after October 1, 2019, will be subject to a 10% consumption tax on the transfer price. A brokerage fee to a real estate company is also subject to consumption tax with the amount of the fee as the taxable base. However, this excludes cases where the seller is an individual who is not a consumption taxable business operator or a tax-exempt business operator.

Tax amount = the price of the building x the tax rate of 10% (national tax 7.8% + local tax 2.2%)

It is common practice for the seller and the buyer to settle the property tax and city planning tax associated with the sale and purchase of the house. It should be noted that the settlement of taxes and public dues for the building is included in the consumption taxable amount.

The owner of the property as of January 1 shall be liable for the property tax and city planning tax. Even if the house is transferred to another party after January 1, the taxpayer will remain the same. Therefore, in the sale and purchase of real estate, including housing, it is customary to prorate the property tax and city planning tax on a daily basis based on the date of delivery and settle the taxes between the seller and the buyer.

However,  this is a "voluntary" settlement between the seller and the buyer in the purchase and sale of a house, and the tax and public dues settlement to be given and received is treated as part of the transfer price of the building. This amount is not considered taxes for tax purposes. Therefore, when consumption tax is imposed on the building, the consumption tax is calculated by including the settlement of taxes and public dues paid by the buyer to the seller in the transfer consideration.

When buying a house, you will have to pay stamp tax, consumption tax, registration and license tax, real estate acquisition tax, and other taxes.

Stamp tax is a tax that is imposed on contracts when a purchase agreement for the sale of a house or a mortgage contract is signed. The  amount of tax is determined by the amount of money stated in the contract. In principle, the tax is paid by affixing revenue stamps to the contract and stamping a seal.

Stamp tax on sales contracts for the purchase of real estate such as houses and contracts for the construction of houses is reduced as follows from April 1, 2014 to March 31, 2024.

​Construction Contract Agreement

• 1,000,000 yen < The contract amount <= 2,000,000 yen -----200 yen
• 2,000,000 yen < The contract amount <= 3,000,000 yen -----500 yen
• 3,000,000 yen < The contract amount <= 5,000,000 yen ----- 1,000 yen
• 5,000,000 yen < The contract amount <= 10,000,000 yen ----- 5,000 yen
• 10,000,000 yen < The contract amount <= 50,000,000 yen ----- 10,000 yen
• 50,000,000 yen < The contract amount <= 100,000,000 yen ----- 30,000 yen
• 100,000,000 yen < The contract amount <= 500,000,000 yen ----- 60,000 yen
•  500,000,000 yen < The contract amount <= 1,000,000,000 yen ----- 160,000 yen
• 1,000,000,000 yen  < The contract amount <= 5,000,000,000 yen ----- 320,000 yen
• 5,000,000,000 yen < The contract amount ----- 480,000 yen

*​Only sales contracts for the purchase of real estate and contracts for the construction of housing are eligible for the reduction.