DPP leader rejects food tax cut bill in current form

Yuichiro Tamaki, leader of the Japanese opposition Democratic Party for the People, said Wednesday that support for the government-submitted bill to cut the consumption tax rate for food items and introduce a benefit program linked to income levels would be “impossible in its current form.”

Making the remark at the party’s executive meeting, Tamaki indicated that the DPP would decide whether to back the legislation after determining if the government and ruling coalition are willing to accept its alternative proposal.

Earlier in the day, the DPP discussed its position on the government’s bill at a party meeting, but no conclusion was reached as participants expressed both support and opposition. Some participants said the party should support the legislation because it shares the same objective of reducing the tax burden on the public, while others opposed it, pointing out that the middle class could face a heavier burden after the tax cut ends in April 2029.

The DPP has submitted a counterproposal to the House of Representatives, the lower chamber of the Diet, the country’s parliament, calling for cuts in resident and income taxes. Although the party has urged the government and ruling camp to adopt the proposal, discussions have made little progress.

Participants at the day’s party meeting also confirmed a policy of seeking to submit a similar bill to the Senate, the upper chamber of the Diet.

Among other opposition parties, Komeito acting representative Toshiko Takeya said at a party meeting that the government’s explanations about the effects of the tax cut and other matters remained unclear. “It is far too early to say the conditions are in place for Komeito to support the legislation,” she said.

Takeshi Shina, secretary-general of the opposition Democratic Reform Party, told reporters, “It is difficult to find any grounds for supporting the legislation.”