Loxonin—a trusted remedy for headaches and fever—can actually help you save on your taxes. Japan’s Self-Medication Tax Deduction, introduced by the Ministry of Health, Labour and Welfare, supports individuals who take proactive steps for their own health. This article clearly explains how you can use Switch OTC medicines like Loxonin to reduce your taxable income while maintaining your well-being.
- What is the Self-Medication Tax Deduction
- How It Differs from the Standard Medical Expense Deduction
- Which Medicines Qualify
- Is Loxonin Eligible
- How Much Can You Save
- Requirements for Eligibility
- How to File Your Tax Return
- Tips to Maximize Your Tax Savings
- Practical Example
- Important Points to Remember
- Conclusion
What is the Self-Medication Tax Deduction
The Self-Medication Tax Deduction was introduced in 2017 to encourage people to take responsibility for their own health. It is designed for those who manage minor illnesses or symptoms with OTC medicines instead of visiting a hospital. As a special form of the standard medical expense deduction, it allows taxpayers to deduct the portion of annual medicine expenses exceeding 12,000 yen, up to a maximum of 88,000 yen.
The purpose of the program is to control the rising cost of national healthcare by promoting self-care and responsible use of medical resources. Those who receive regular health checkups or vaccinations are eligible, combining health promotion with tax savings.
How It Differs from the Standard Medical Expense Deduction
Although both systems reduce taxable income, their requirements differ.
| Item | Standard Medical Expense Deduction | Self-Medication Tax Deduction |
|---|---|---|
| Eligible expenses | Hospital treatments, prescription drugs | Approved over-the-counter medicines (Switch OTC) |
| Minimum threshold | Over 100,000 yen per year | Over 12,000 yen per year |
| Health check requirement | Not required | Required |
| Can they be used together? | No | No |
If you spend a lot on hospital visits, the standard deduction is better. If you usually treat minor issues yourself, the Self-Medication Tax Deduction is more advantageous.
Which Medicines Qualify
The program covers medicines designated by the Ministry of Health, Labour and Welfare as “Switch OTC” products—drugs that were originally prescription-only but are now approved for over-the-counter sale due to proven safety and effectiveness.
| Category | Examples | Typical Purpose |
|---|---|---|
| Pain relief | Loxonin S, Eve A tablets | Headache, menstrual pain, fever |
| Cold medicine | Pabron, Lulu | Sore throat, congestion, chills |
| Digestive medicine | Gaster 10, Daiichi Sankyo stomach aid | Indigestion, heartburn |
| Allergy medicine | Allegra FX, Claritin EX | Hay fever, rhinitis |
Check receipts and packaging for the label “Eligible for Self-Medication Tax Deduction.”
Is Loxonin Eligible
Yes. All Loxonin S products qualify.
The Loxonin S, Loxonin S Plus, and Loxonin S Premium series are all listed as Switch OTC medicines. Therefore, you can include their purchase cost in your annual total when claiming the deduction.
| Product name | Type | Eligible for deduction |
|---|---|---|
| Loxonin S | Analgesic | Yes |
| Loxonin S Plus | Analgesic | Yes |
| Loxonin S Premium | Analgesic | Yes |
| Loxonin EX Patch | External pain relief | Yes |
For anyone who uses Loxonin frequently, keeping your receipts can directly translate into tax savings.
How Much Can You Save
Your deductible amount is calculated as:
Total annual purchase cost − 12,000 yen (up to 88,000 yen)
| Annual spending | Deductible amount | Approx. tax savings (10 % tax rate) |
|---|---|---|
| ¥15,000 | ¥3,000 | ¥300 |
| ¥30,000 | ¥18,000 | ¥1,800 |
| ¥50,000 | ¥38,000 | ¥3,800 |
| ¥100,000 | ¥88,000 (maximum) | ¥8,800 |
Those who spend tens of thousands of yen annually on OTC medicines can save several thousand yen in taxes. Because local resident tax is also reduced, the actual benefit can be even higher.
Requirements for Eligibility
To apply, you must have engaged in at least one health-maintenance activity within the tax year, such as a medical check or vaccination.
| Health activity | Proof required |
|---|---|
| Regular health check | Health check result sheet |
| Specific health check (metabolic screening) | Notification form |
| Cancer screening | Examination certificate |
| Vaccination | Vaccination record |
Submit these documents along with your receipts. If you lose the proof, you may not be able to apply, so keep them in a safe place.
How to File Your Tax Return
Follow these steps to claim the deduction:
- Keep all receipts for eligible medicines and total the amount spent in a year.
- Prepare documents proving your health check or vaccination.
- Access the National Tax Agency’s online system and select “Self-Medication Tax Deduction.”
- Enter the total amount and upload supporting documents. You can also file electronically via e-Tax.
The filing deadline is usually March 15. Online filing allows submission anytime, anywhere.
Tips to Maximize Your Tax Savings
Keep a record of medicine purchases throughout the year and include family members’ expenses, since household totals can be combined. Having everyone’s receipts ready at year-end simplifies filing. Getting annual health checks ensures you remain eligible in future years.
Develop the habit: “Buy medicine → Save the receipt → File your taxes.” This simple routine secures continuous savings.
Practical Example
Suppose you buy two boxes of Loxonin each month at ¥1,000 per box.
Your yearly total would be ¥24,000. Subtracting the ¥12,000 threshold leaves a ¥12,000 deductible amount. With a 10 % income tax rate, you would save ¥1,200 in income tax and about ¥800 in local tax—roughly ¥2,000 saved per year.
Small efforts add up to meaningful tax savings, making this system highly practical for frequent OTC medicine users.
Important Points to Remember
- The receipt must clearly state “Eligible for Self-Medication Tax Deduction.”
- You cannot combine this system with the regular medical expense deduction.
- You must have undergone a qualifying health check or vaccination.
- Printed receipts are preferable; handwritten ones may not be accepted.
By checking these details carefully, you can avoid problems during filing.
Conclusion
The Self-Medication Tax Deduction is a smart way to save money while taking care of your health. Anyone using Loxonin or other eligible Switch OTC medicines should keep their receipts and proof of health checkups. Understanding the differences from the standard deduction and filing correctly allows you to achieve both health management and tax savings.
