Japan to Allow Income Cap to Be Scrapped for Child Benefits

Politics

Tokyo, Dec. 14 (Jiji Press)--The Japanese government will allow municipalities to scrap the annual income cap of 9.6 million yen for receiving 100,000 yen in child benefits, economic and fiscal policy minister Daishiro Yamagiwa said Tuesday.

"This is one way that municipalities can choose," Yamagiwa told a news conference. Some municipalities have already been announcing decisions to scrap the income cap.

Yamagiwa added that the government will provide subsidies to municipalities to finance the benefit program under the principle of the 9.6-million-yen income cap.

The government's plan initially called on municipalities to provide 100,000 yen in benefits to every child aged 18 or under--50,000 yen each in cash and in the form of shopping coupons.

In response to criticism that distributing coupons would create huge administrative burdens, Prime Minister Fumio Kishida said Monday that municipalities will be allowed to provide the benefits in a cash lump sum.

[Copyright The Jiji Press, Ltd.]

Jiji Press