Japan DPJ Panel Proposes Not Raising Tobacco Tax Next Year
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A ruling Democratic Party of Japan committee recommended not raising cigarette taxes next year after this year’s 40 percent increase because the government should examine the impact on tobacco farmers and manufacturers.
The DPJ’s fiscal panel released its tax reform proposal today, calling for a “cautious” approach in raising tobacco taxes after this month’s record increase lifted the price of a pack of cigarettes by one-third to about 410 yen ($5). The group also suggested extending a temporary tax break on income from capital gains and dividends given current economic conditions.