Japan Ruling Bloc Adopts Tax Reform Package

Politics Lifestyle

Tokyo, Dec. 10 (Jiji Press)--Japan's ruling coalition on Thursday adopted its fiscal 2021 tax system reform package, featuring tax breaks designed to cushion the impact of the coronavirus pandemic.

The package for the year that starts next April calls for lowering the burdens of fixed-asset tax and extending tax breaks for fuel-efficient vehicles.

The size of cuts in national and local taxes is expected to reach 60 billion yen.

Aiming to prepare for an end to the pandemic, the package also included tax cuts for corporate capital expenditures related to decarbonization and digital transformation.

In a bid to stimulate corporate appetite for investment even amid the pandemic, the package seeks to expand a system allowing companies to carry their losses forward to offset them with profits in the following year and later.

[Copyright The Jiji Press, Ltd.]

Jiji Press