Local Tax Act

When the head of a local government intends to collect local government levies (excluding expenses for the delinquent tax collection procedure) from a taxpayer or special collection agent, the head must give those persons notice of payment or remittance in writing. In this case, the document is to state, except as otherwise specially provided in this Act, the amount to be paid or remitted, the time limit for payment or remittance, the place of payment or remittance and other necessary matters.

Where local government levies (excluding expenses for the delinquent tax collection procedure) have been paid in full, if the head of a local government intends to seize the property of a person delinquent in payment for expenses for the delinquent tax collection procedure, the head must, as provided by Cabinet Order, give the person delinquent in payment notice of payment.

In the case where any of the following items applies, the head of a local government may carry out advance collection even before the due date for payment, limited to local government levies for which the obligation to pay or remit has already been fixed and that are found to be incapable of being collected in full by the due date for payment (in the case falling under item (iii), excluding those for which the obligation to pay or remit is an obligation covered by the trust property):

when delinquent tax collection procedures (including dispositions in accordance therewith), compulsory execution, auction as the enforcement of a security interest, enforcement procedures for an enterprise security interest, enforcement procedures for an enterprise value security interest, or bankruptcy procedures (hereinafter referred to as "compulsory liquidation procedure") have been commenced with regard to the property of a taxpayer or special collection agent (including when any of the following notices has been given):

a notification under Article 2, paragraph (1) of the Act on Contract for Establishment of Security Interests by Use of Provisional Registration (Act No. 78 of 1978) (including as applied mutatis mutandis pursuant to Article 20 of that Act);

a notification under Article 60, paragraph (1) or Article 61, paragraph (2) of the Act on Security Assignment Contracts and Retention of Title Contracts (Act No. 56 of 2025) (including as applied mutatis mutandis pursuant to Article 93 of that Act (including as applied mutatis mutandis pursuant to Article 96, paragraph (1) of that Act) or Article 111, paragraph (1) of that Act).

where an inheritance has occurred with respect to a taxpayer or special collection agent and the heirs have made a qualified acceptance;

where a taxpayer or special collection agent that is a juridical person has been dissolved;

where a trust relating to local government levies for which the obligation to pay or remit is an obligation covered by the trust property has terminated (excluding where it has terminated due to the ground listed in Article 163, item (v) of the Trust Act);

where a taxpayer or special collection agent comes to have no domicile, residence, office or place of business within the area of that local government without having appointed a tax agent (excluding cases where it is not required to appoint a tax agent);

where it is found that a taxpayer or special collection agent has wrongfully evaded or attempted to evade the assessment and collection of local government levies, or has received or attempted to receive a refund of local government levies.

The local government levies for which the obligation to pay or remit has already been fixed, as referred to in the preceding paragraph, are the following:

local government levies for which notification of payment or remittance has been given (including notification under Article 11, paragraph (1) (including as applied mutatis mutandis));

local tax subject to filing and payment for which a return has been filed or notice of a reassessment or determination has been given;

individual municipal inhabitant tax collected by a special collection agent (including individual prefectural inhabitant tax imposed together with it);

prefectural tobacco tax and municipal tobacco tax for which a sale, consumption or other disposition subject to taxation has occurred;

prefectural tax and municipal tax collected by the method of special collection for which an act or fact subject to taxation has occurred.

When the head of a local government intends to carry out advance collection under paragraph (1), the head must notify the taxpayer or special collection agent to that effect. In this case, where notification of payment or remittance has already been given, the head must notify of the change of the due date for payment.

Where manufactured tobacco on which prefectural tobacco tax or municipal tobacco tax is imposed, or light oil on which light oil delivery tax is imposed, has been realized through a compulsory liquidation procedure, and tax liability for prefectural tobacco tax, municipal tobacco tax or light oil delivery tax arises with respect to that manufactured tobacco or light oil, the head of a local government may collect that prefectural tobacco tax, municipal tobacco tax or light oil delivery tax from the sale proceeds.

When the head of a local government intends to collect prefectural tobacco tax, municipal tobacco tax or light oil delivery tax under the preceding paragraph, the head must give prior notice of the amount of tax to be collected under the preceding paragraph and other necessary matters to the enforcement agency (meaning administrative agencies or other persons that execute the delinquent tax collection procedure (hereinafter in this Chapter referred to as "administrative agencies, etc."), courts (in the case of execution on a claim in a small claims action prescribed in Article 167-2, paragraph (2) of the Civil Enforcement Act (Act No. 4 of 1979), the court clerk), execution officers and bankruptcy trustees; the same applies hereinafter) and the special collection agent or taxpayer.

When realization under paragraph (1) has been carried out, the notice under the preceding paragraph to the enforcement agency is deemed to have been given as a request for share distribution, and the notice under that paragraph to the special collection agent or taxpayer as a notification of remittance or payment, respectively.

The provisions of the preceding three paragraphs apply mutatis mutandis to those among prefectural non-statutory ordinary tax, municipal non-statutory ordinary tax and non-statutory earmarked tax whose object of taxation is articles, etc. relating to sale or taking delivery and is similar to the object of taxation of prefectural tobacco tax, municipal tobacco tax or light oil delivery tax, and that are designated by the Minister for Internal Affairs and Communications.

Where the designated payment agent prescribed in Article 231-2-3, paragraph (1) of the Local Autonomy Act or the Organization-designated payment agent prescribed in Article 747-8, paragraph (1) (hereinafter in this Article referred to as a "designated payment agent, etc.") has been entrusted under Article 231-2-2 of that Act or Article 747-7, and that designated payment agent, etc. does not pay in full by the designated date prescribed in those provisions the local government levies to be paid or remitted under Article 231-2-5, paragraph (1) of that Act or Article 747-10, paragraph (1), the head of the local government is to collect those local government levies from that designated payment agent, etc. in accordance with the rules for collection concerning guarantors of local government levies.

With regard to local government levies that a designated payment agent, etc. is to pay or remit under Article 231-2-5, paragraph (1) of the Local Autonomy Act or Article 747-10, paragraph (1), the head of a local government may collect the remaining amount from the taxpayer or special collection agent relating to those local government levies only where there is a remainder to be collected even after the delinquent tax collection procedure has been carried out against that designated payment agent, etc.