menu_open Columnists
We use cookies to provide some features and experiences in QOSHE

More information  .  Close

Opposition Seeks Quick Political Fix Via Tax Cuts; History Shows This Tactic Does Not Always Work

58 1
17.06.2025

By Michitaka Kaiya

8:00 JST, June 14, 2025

As the House of Councillors election approaches this summer, the debate over a consumption tax cut is intensifying among the ruling and opposition parties.

On the evening of May 8, following a dinner with Liberal Democratic Party Secretary General Hiroshi Moriyama, Prime Minister Shigeru Ishiba, who is also the LDP president, expressed his determination not to cut the consumption tax despite calls for such a cut as a measure against rising commodity prices. Although the prime minister had previously leaned towards the idea of a tax cut to support those suffering from high prices, he acknowledged that tax revenue is essential for funding social security. In a meeting on May 12, he remarked, “If politicians start making promises just to please the public, the country will perish.”

Moriyama, who is also an advisor to the LDP’s research commission on the tax system, shared the prime minister’s negative view on tax cuts. They agreed that the LDP would not pursue discussions on this issue.

In contrast, Yoshihiko Noda, leader of the Constitutional Democratic Party of Japan, has taken a stance in favor of a consumption tax cut. In 2012, while he was prime minister, Noda reached an agreement with the LDP and Komeito on a........

© The Japan News