March 1, 2011
The House of Representatives early on March 1 passed the FY2011 budget draft through the plenary session by the majority of votes of the ruling Democratic Party of Japan and People’s New Party. The Japanese Communist, Liberal Democratic, Komei, Your, and Social Democratic parties all voted against the draft.
The passed government budget will cut corporate taxes by five percent (1.5 trillion yen) and extend the preferential securities taxation system for another two years, showing a clear stance that favors large corporations and large asset holders.
JCP representative Kasai Akira, at a prior meeting of the Lower House Budget Committee, made a motion to recompile the budget draft but the motion was rejected.
The revised budget draft the JCP brought forward called for a package of comprehensive wage-hike policies, an overall improvement of social welfare programs, and the establishment of trade rules respecting food sovereignty. The JCP draft proposed that about three trillion yen be redirected for social purposes by reviewing the use of tax money for military expenditures and excessive tax breaks to the rich.
In contrast to the JCP draft, the draft sponsored by the LDP suggested implementing R&D tax exemptions for large corporations in addition to a 5% cut in corporate taxes.
The LDP attacked a revision to the Worker Dispatch Law and an increase in the minimum wage by claiming it to be anti-business.
The LDP urged the government to cancel the plan to introduce the new Child Allowance (about 1.82 trillion yen) and tuition-free high school education (390 billion yen). It instead demanded that more of the budget be allocated for military expenditures and that the budget for public works projects be increased by 1.4 trillion yen. The party also called for a 10% consumption tax and cuts in the payroll of government workers totaling 1.5 trillion yen.
The Your Party called for a 50% cut in corporate taxes to 20 percent.
The passed government budget will cut corporate taxes by five percent (1.5 trillion yen) and extend the preferential securities taxation system for another two years, showing a clear stance that favors large corporations and large asset holders.
JCP representative Kasai Akira, at a prior meeting of the Lower House Budget Committee, made a motion to recompile the budget draft but the motion was rejected.
The revised budget draft the JCP brought forward called for a package of comprehensive wage-hike policies, an overall improvement of social welfare programs, and the establishment of trade rules respecting food sovereignty. The JCP draft proposed that about three trillion yen be redirected for social purposes by reviewing the use of tax money for military expenditures and excessive tax breaks to the rich.
In contrast to the JCP draft, the draft sponsored by the LDP suggested implementing R&D tax exemptions for large corporations in addition to a 5% cut in corporate taxes.
The LDP attacked a revision to the Worker Dispatch Law and an increase in the minimum wage by claiming it to be anti-business.
The LDP urged the government to cancel the plan to introduce the new Child Allowance (about 1.82 trillion yen) and tuition-free high school education (390 billion yen). It instead demanded that more of the budget be allocated for military expenditures and that the budget for public works projects be increased by 1.4 trillion yen. The party also called for a 10% consumption tax and cuts in the payroll of government workers totaling 1.5 trillion yen.
The Your Party called for a 50% cut in corporate taxes to 20 percent.
