OECD urges Japan to gradually raise its consumption tax to 18% during review, calling for measures to address its aging population.
https://www.nikkei.com/article/DGXZQOUA125FB0S6A510C2000000/?n_cid=SNSTW001&n_tw=1778639002
OECD urges Japan to gradually raise its consumption tax to 18% during review, calling for measures to address its aging population.
https://www.nikkei.com/article/DGXZQOUA125FB0S6A510C2000000/?n_cid=SNSTW001&n_tw=1778639002
16 Comments
while at the same time everybody is waiting for the consumption tax on food to be scrapped …
The global capitalist system is collapsing under the weight of its own billionaires.
It would be nice if the cunts don’t try to fuck us with pointless taxes on the way out. It’s prolonging the inevitable at the expense of the working class.
I had to find an article in English to find out what he really said, but essentially:
> “The better approach is well-targeted fiscal support to the households that actually need that support,” he said, adding, “That protects people effectively and at a lower overall cost to the budget, preserving fiscal sustainability.”
> Cormann also said that Japan’s consumption tax rate, which stands at 10%, is very low compared to the average of about 19% across OECD member countries, calling for “a gradual increase over time.”
[https://www.japantimes.co.jp/business/2026/05/13/economy/oecd-chief-consumption-tax-cut/](https://www.japantimes.co.jp/business/2026/05/13/economy/oecd-chief-consumption-tax-cut/)
He’s basically saying that consumption tax of 0% basically has the opposite effect, and it’s better to raise the consumption tax and then redistribute wealth towards poorer groups.
Is that true or not I don’t know I’m not an economist.
I thought it was generally agreed that consumption tax is the worst form of taxation because it is highly regressive. The poor pay a larger share of their income to consumption tax than the rich.
It’s generally agreed that progressive taxation like income tax or capital gains should be used for this purpose.
if that happens, everyone will starve, business will close. It’s at 8~10% and people can’t barely afford food and basic items, imagine 18% 🤣🤣🤣
Moron incarnate. Consumption tax IS for the rich
People aren’t tired of citing ” aging population” in every single post… I am tired of reading it
‘Eff these Euro-ghouls let them get their own house in order before they start lecturing us
Consumption tax should only apply to true luxury goods and goods deemed socially harmful.
This doesn’t mean things like beer or a Nintendo Switch which the average person uses to enjoy life or release stress of working a full week (as this should also be considered a necessity for a decent quality of life). Rather, true luxuries that are bought only by those with a set level of disposable income: golf club memberships, designer clothing, expensive jewelry, etc.
And possibly thing with an (arguable) negative social impact such as tobacco, foods that are extremely unhealthy, pornography, etc.
There are reasonable arguments for taxing both of these. However, consumption tax on basic necessities is a direct assault on the fundamental quality of life of a state and should be considered immoral in states that have high levels of income inequality.
why stop at 18%? why not make it 100%?
just take all my money and make me starve
TAX THE FUCKING RICH. CLOSE THE TAX LOOPHOLES.
They could abolish the tax free for tourists, they would make billions.
That’s one way to tax the retirees when they pay no income tax
But regressive as hell
People who think 0% tax will do any good should just admit they have no idea what they are talking about.
Japan needs higher taxes, more money flowing, more investments, strong yen. The goal should be to break stagnation that is killing economy, so wages can grow higher than prices.
You cant keep prices of food low forever in current world, not unless you implement communism and cap prices artificially.
Hyperinflation will hit japan like a train in near future if they keep rates and prices low for too long.
They are proposing to use this money to provide additional benefits to low income individuals but this tax in general tends to target the middle and lower classes. It’s not a good way to go about this because people will view these taxes as negative and it could hurt consumer spending irregardless of if you give more than taken back to the poor. A better approach would be to limit this tax to goods above a certain value or to luxury goods. That and of course actually addressing the population shortage.
Increase regressive taxes that will affect poor people the most? Sounds like a retarded idea.