Govt, Coalition Fully Start Talks on Defense Spending Resources
Tokyo, Dec. 11 (Jiji Press)--Japan’s government and ruling coalition on Sunday launched full-fledged talks on securing financial resources from tax to cover an envisaged hike in the government’s defense spending.
Increasing corporate, tobacco and inheritance taxes could be options.
On the day, the ruling Liberal Democratic Party’s tax panel held an informal meeting in Tokyo.
Members of the panel received an explanation from the government on a wide range of taxes, including the corporate and consumption taxes, according to participants. The two sides then exchanged views, but no conclusion was reached.
Another idea calls for converting, in a way not to increase public burden, about half of the revenue, or some 200 billion yen, from the special income tax aimed at facilitating the reconstruction of areas damaged by the March 2011 earthquake and tsunami. But some are cautious about diverting revenue from the tax for defense spending.
[Copyright The Jiji Press, Ltd.]