A field study was conducted to investigate the long-term effect of surface application of sewage sludge composts vs chemical N fertilizer on total N, total C, soluble organic C, pH, EC, microbial biomass C and N, protease activity, deaminase activity, urease activity, gross and net rates of N mineralization and nitrification, CO 2 evolution, and N 2O production. Soil samples were taken from five depths (0–15, 15–20, 20–30, 30–40, and 40–50 cm) of a long-term experiment at the University of Tokyo, Japan. Three fields have been receiving sewage sludge composted with rice husk (RH), sawdust (SD), or mixed chemical fertilizer NPK (CF), applied at the rate of 240 kg N ha -1 each in split applications in summer and autumn since 1978. Significantly higher amounts of total N and C and soluble organic C were found in the compost than in the CF treatments up to the 40-cm soil depth, indicating improved soil quality in the former. In the CF treatment, soil pH values were significantly lower and electrical conductivity values were significantly higher than those of compost-treated soils of up to 50 cm depth. Soil microbial biomass C and N, CO 2 evolution, protease, deaminase, and urease activities were significantly higher in the compost than in the CF treatments due to greater availability of organic substrates that stimulated microbial activity. Gross N mineralization rates determined by 15N dilution technique were eight and five times higher in the SD and RH treatments than in the CF treatment, respectively, probably due to high levels of microbial and enzyme activities. Net N mineralization rates were also significantly higher in the compost treatments and were negative in the CF treatment indicating immobilization. Net nitrification rates were higher in compost treatments and negative in the CF treatment. Nitrous oxide productions from compost treatments were higher than the CF treatment due to the greater availability of mineral N as a result of higher mineralization and nitrification rates and soluble organic C in the former. Most of the measured parameters were highest in the surface soil (0–15 cm) and were significantly higher in the SD treatment than in the RH treatment.