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Japan Press Service Co., Ltd. is the only news agency providing information of progressive, democratic movements in Japan

Media are beginning to question corporate tax breaks

Mass media are now beginning to report that the Koizumi Cabinet's tax increase plan raises the question concerning why working people are forced to pay the price of tax increases while large corporations continue to enjoy various tax breaks.

Tokyo Shimbun on October 21 said, "If the fixed-rate tax cuts are abolished, a person will have to pay a maximum of 290,000 yen in tax increases a year. Why should corporate tax breaks on investment in research and development be maintained?"

A commercial TV program broadcast on October 17 took up this subject and pointed out that large corporations and the very rich will be given tax cuts, with extra burdens shifted onto ordinary people. The program also commented that this is because the Japan Business Federation (Nippon Keidanren) president will not allow the corporate tax breaks to be reviewed.

A weekly magazine "Shukan Post" in its September 30 issue said, "If the government plans the tax increase on the supposition of an economic recovery, it is reasonable to increase corporate taxes and decrease the income tax." -- Akahata, October 22, 2005