1. Introduction
We mentioned “2017 Tax Reform – Exemption for Spouse and Special Exemption for Spouse” in our News, October 2017. This reform is applied to individual income tax from 2018 onwards. In this News, we will mention some points of amendments and introduce new application forms for 2018 year-end tax adjustment.

2. Amendments
The points of amendments in 2018 year-end tax adjustment are as follows:

・ The taxpayer’s income limit has been newly set to qualify for an exemption for spouse.
・ The spouse’s income limit to qualify for a special exemption for spouse has been raised.
・ The “Insurance Form” and “Spouse Form” have been separated.

For the above two issues, please refer to our News October 2017.

3. Spouse Form (Application for Exemption for Spouse of Employment Income Earner)
The “Spouse Form,” which is also called “Maru-Hai” in Japanese, is a new form starting from 2018. This application is used not only for claiming the special exemption for spouse but the exemption for spouse. Therefore, in cases where you have entered the “spouse covered by the withholding exemption” in the “Dependent Form,” you also need to fill out and submit the “Spouse Form.”
Furthermore, in the “Spouse Form,” please remember to enter “your total amount of income (estimated)” and “your spouse’s total amount of income (estimated).”

4. Conclusion
In this News, we mentioned the application forms required for 2018 year-end tax adjustment.
Please note that this News only introduces general outlines and does not include professional advice. So please make sure not to make any decisions without taking professional advice individually. If you have any questions, please feel free to contact us.

(Reference)
Website of National Tax Agency
https://www.nta.go.jp/taxes/tetsuzuki/shinsei/annai/gensen/annai/1648_71.htm
https://www.nta.go.jp/taxes/tetsuzuki/shinsei/annai/gensen/annai/1648_71_kisairei_haigusha.htm
（Accessed on October 25, 2018）