Companies

Amazon Japan to Enter “Furusato Nozei” Biz

REUTERS/Kim Kyung-Hoon/File Photo
Amazon.com’s logo is seen at Amazon Japan’s office building in Tokyo, Japan.

Jiji Press

16:56 JST, December 19, 2024

Tokyo (Jiji Press)— Amazon Japan G.K. said Thursday that it will enter the “furusato nozei” hometown donation intermediary business.

The Japanese unit of Amazon.com Inc. will handle donations to about 1,000 municipalities and about 300,000 gifts in return for donations on a dedicated website.

It aims to differentiate its service from other furusato nozei sites by utilizing its nationwide distribution network to deliver gifts as quickly as one day after donations are made.

Jasper Cheung, head of Amazon Japan, told a press conference on the day that the company hopes to encourage furusato nozei donations in a way that is unique to it.

According to the internal affairs ministry, the amount of donations under the furusato nozei system, which grants tax credits to donors, exceeded ¥1 trillion in fiscal 2023.

Various companies, including airline and railway operators, department stores and financial firms, as well as technology companies, are entering the intermediary business for fee income.