The year-end adjustment documents that employees are asked to prepare include many terms that are rarely used. Therefore, many people are confused about how to write it.
For example, “Head of household” in the “Application for Dependent Deduction, etc. (Change) for Salary Earners”. Some employees may find it difficult to know whose name to include.
Therefore, this time, we will check the definition of “head of household” to be entered in the “Application for Dependent Deduction, etc. (Transfer) for Salary Earners” that employees are asked to prepare.
We will also explain how to enter and change the head of household by family structure in the year-end adjustment.
Table of contents [ hidden ]
- 1. What is the definition of head of household in year-end adjustment?
- 2. Head of household by family structure in year-end adjustment
- 3. How to change the head of household written in the year-end adjustment
- 4. The “Head of Household” column of the year-end adjustment document must be filled out in the same way as the resident record.
1. What is the definition of head of household in year-end adjustment?
First, let’s consider the definition of the head of household in the “Application Form for Dependent Deduction, etc. (Change) for Salary Earners.”
First, let’s confirm the meaning of the word “household”.
1-1. What is the “household” of the household head?
“Household” refers to a family unit that lives in the same residence and earns the same living.
A common example is that “the father or mother of a family supports the family and is the head of the household, forming a single household.”
In addition, even if they live in the same place of residence, if their livelihoods are not the same, they will be treated as “separate households.”
1-2. “Head of household” refers to the representative of the household.
“Head of household” refers to the representative person in the household. The head of the household is often the person who earns the most subsistence income in the household.
However, there is no law that determines who is the head of the household. The head of a household is not determined by age or income; anyone from the same household can become the head of a household.
Once the head of the household has been determined, please notify the municipality where you will be residing in advance. Additionally, if you wish to change the head of household for any reason, you must submit a “Notification of Change of Household Head” to the local government office within 14 days from the date of change.
1-3. What should be written for the head of household in the year-end adjustment documents?
So, what should I write in the head of household column in the year-end adjustment document “Application for Dependent Deduction, etc. (Change) for Salary Earners”?
Normally, in the head of household column of the “Application for Dependent Deduction, etc. (Change) for Salary Earners,” the “head of household” listed on the resident record is entered as is.
If the employee lives alone and makes a living, please note that the information to be entered will differ depending on whether or not the employee has transferred his or her resident card. If you have not transferred your residence card and your family is the head of the household, enter the name of the family member as is in the head of household column.
However, if the employee has transferred their residence card and is the head of the household, the employee’s name must be entered.
In other words, it is important to make sure that each employee confirms and enters the “head of the household” on their resident record in the head of household section of the year-end adjustment documents.
2. Head of household by family structure in year-end adjustment
The information to be entered in the head of household section of the year-end adjustment document differs depending on the family structure and the relationship between the person and the head of the household.
Here, we will explain how to write the head of household in three ways: “If you are the householder,” “If you live at home,” and “If you live alone.”
2-1. Head of household for year-end adjustment in case of individual
If you are the head of the household, enter the name of the head of the household in the year-end adjustment, and write “the person” in the relationship.
2-2. Head of household for year-end adjustment if living at home
If you are living with your parents, enter the name of the father (or mother) as the head of the household and “father” (or “mother”) as the relationship.
2-3. Head of household for year-end adjustment if living alone or single person
If you live alone or are single, the name of the head of household for the year-end adjustment will be entered as “the person” in the relationship. However, if you have not transferred your residence card from your parents’ home, enter the name and relationship of the head of household in your parents’ home, just as you would if you were living at your parents’ home.
3. How to change the head of household written in the year-end adjustment
There may be cases where it is necessary to change the head of household on the year-end adjustment documents due to a typo or an employee’s family circumstances.
There are three ways to change the head of household listed on the “Application for Dependent Deduction, etc. (Change) for Salary Earners”:
- When it is necessary to change the head of household due to family circumstances
- When you want to correct or change the head of household because you entered it incorrectly.
- When you realize that you submitted the wrong head of household information to the company and want to correct or change it.
Below, we will explain how to change the head of household for these three patterns.
3-1. When it is necessary to change the head of household due to family circumstances
If an employee has to change the head of household due to family circumstances, have them write the name of the new head of household in the Head of Household column. There is no problem as long as you indicate your relationship with the new head of household.
3-2. When you want to correct or change the head of household because the head of household is written incorrectly.
If you have incorrectly entered the head of household and would like to correct the information, ask your employee to correct it using the following correction method.
- Draw a double line where you need to make corrections.
- Put a correction stamp (approval stamp accepted) on the double-lined area.
- Write the exact details above or below the part you want to correct.
Please note that the use of correction tape or correction fluid is not permitted when correcting the head of household information. Let them know in advance not to use correction tape when making corrections.
3-3. When you realize that you have submitted the wrong head of household information to the company and want to correct or change it.
Even if an error is discovered after submitting the “Application for Dependent Deduction, etc. (Change) for Salary Earners,” it is possible to correct the document until January 31st of the following year, which is the year-end adjustment deadline. If you discover an error, immediately tell your employees to correct it by the deadline.
In addition, if you wish to make amendments after January 31st, employees would normally have to file their tax returns themselves. However, if the correction is only made by the head of the household, you will not be subject to penalties even if you do not make any corrections and submit the document as is. This is because head of household information does not directly affect the amount of income tax paid or refunded.
4. The “Head of Household” column of the year-end adjustment document must be filled out in the same way as the resident record.
In addition to the definition of “head of household” required when filling out year-end adjustment documents (“Application for Dependent Deduction, etc. (Change) for Salary Earners”), how to write the head of household by family structure, and “head of household” We introduced the method if you want to change the description.
In principle, the same name as the head of the household on the resident card must be entered in the “Head of Household” column of the “Application for Dependent Deduction, etc. (Transfer) for Salary Earners”. Let all your employees know that they must check the head of household on the resident record before filling it out. In particular, if the employee lives alone, please be careful as the information to be filled out will differ depending on whether or not the employee has transferred their resident card.
Additionally, if the head of the household is incorrectly entered on the “Application for Dependent Deduction, etc. (Change) for Salary Earners” submitted by an employee, it can be corrected up to the deadline. Communicate the appropriate correction method according to each employee’s circumstances.
