As the low birth rate and aging phenomenon intensify, many local governments are facing a difficult situation of not only reducing population but also for securing financial resources. The national average fiscal independence is not increasing, and the fiscal gap between local governments has not been resolved. Accordingly, the Hometown Love Donation System, which provides tax incentives for donations to local governments, was included in the current government's 100 major national tasks and roadmap for autonomous decentralization. The hometown tax system was introduced in Japan in 2008 and has been contributing to securing financial resources of local governments, and has been contributing to regional development in recent years by using local specialties as return products, but concerns about overheating of competition are also growing. In Korea, the National Assembly and local governments have continuously reviewed the introduction of the hometown tax system. In addition, it is proposed to organize and operate a research conference about the suitabity of the environment of Jeju in order to minimize trial and error in the introduction and implementation of the system based on the case of Japan's hometown tax, taking into account domestic and Jeju special selfgoverning conditions. In the future, further research is needed in policy making and related systems for the donation deduction system.