Japan to End Aviation Fuel Tax Cut as Coronavirus Reflief

Politics Lifestyle

Tokyo, Dec. 4 (Jiji Press)--The Japanese government and ruling bloc are making final negotiations to raise the aviation fuel tax to 13,000 yen per kiloliter after having reduced it to 9,000 yen as a relief measure amid the novel coronavirus crisis, it was learned Saturday.

The revision will be included in the Liberal Democratic Party-led ruling coalition’s tax system reform package for fiscal 2022, which starts in April.

Japanese airlines pay the aviation fuel tax in accordance with the amount of fuel they use for domestic flights.

The tax is supposed to be charged at 26,000 yen per kiloliter, but since fiscal 2011, the tax has been reduced to 18,000 yen with the aim of encouraging foreign tourists to visit rural areas.

In its fiscal 2021 tax system reform, the tax was cut further to 9,000 yen in order to support airlines hit by the novel coronavirus pandemic.

[Copyright The Jiji Press, Ltd.]

Jiji Press