An Upper House special committee began deliberations on the food tax reduction bill Friday, as the opposition seeks to further broaden relief for households during and after the cut.
The ruling Liberal Democratic Party and its coalition partner, the Japan Innovation Party (also known as Nippon Ishin no Kai), are four seats short of a majority in the chamber and are likely seeking support from major opposition parties Komeito or the Democratic Party for the People. Both opposed the bill when it passed the Lower House last week.
The bill would lower the consumption tax on food and nonalcoholic beverages from 8% to 1% for two years starting in April 2027. Income-linked cash payments for low- and middle-income workers would start alongside the cut to offset the remaining 1%, with the program expanding its support measures when the tax rate returns to 8%.
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