October 29, 2020
The government has announced that it will improve its coronavirus-related rent support program in order to enable a wider range of self-employed to apply for the program. This improvement came out in line with proposals made by the Japanese Communist Party.
The support program aims at providing small- and medium-sized enterprises and self-employed workers with subsidies that cover part of their rents. Those eligible to receive subsidies are businesses in which monthly sales decreased by 50% or more on a year-on-year basis in a month between May and December as well as businesses whose monthly sales went down by 30% or more for three consecutive months during the same period. Companies can receive up to six million yen and self-employed individuals three million yen.
Until recently, self-employed individuals were able to apply for the rent support only if they had categorized their sales as “business income” in their tax returns. Now, those who used the categories of “salary income” or “miscellaneous income” can also claim the subsidy payment.
The JCP has repeatedly stressed the need to expand the scope of the rent support program. JCP lawmaker Kasai Akira in May at a House of Representatives Economy Committee meeting urged the government to improve the program to cover more individuals and businesses. In September, at a meeting held by the government and ruling and opposition parties to discuss coronavirus measures, JCP Policy Commission Chair Tamura Tomoko made the same demand. In response, a government official said that the government is considering improving the program.
The rent support program has often faced public criticism for delays in payments. The government should take measures so that applicants will be able to receive subsidies more quickly and with less paperwork. In addition, the scope of the subsidy needs to be expanded even more and the government should consider providing continued financial support to those who are struggling with rent payments.
Past related article:
> Only 4% of budget for support program paid to coronavirus-hit workers [October 15, 2020]
The support program aims at providing small- and medium-sized enterprises and self-employed workers with subsidies that cover part of their rents. Those eligible to receive subsidies are businesses in which monthly sales decreased by 50% or more on a year-on-year basis in a month between May and December as well as businesses whose monthly sales went down by 30% or more for three consecutive months during the same period. Companies can receive up to six million yen and self-employed individuals three million yen.
Until recently, self-employed individuals were able to apply for the rent support only if they had categorized their sales as “business income” in their tax returns. Now, those who used the categories of “salary income” or “miscellaneous income” can also claim the subsidy payment.
The JCP has repeatedly stressed the need to expand the scope of the rent support program. JCP lawmaker Kasai Akira in May at a House of Representatives Economy Committee meeting urged the government to improve the program to cover more individuals and businesses. In September, at a meeting held by the government and ruling and opposition parties to discuss coronavirus measures, JCP Policy Commission Chair Tamura Tomoko made the same demand. In response, a government official said that the government is considering improving the program.
The rent support program has often faced public criticism for delays in payments. The government should take measures so that applicants will be able to receive subsidies more quickly and with less paperwork. In addition, the scope of the subsidy needs to be expanded even more and the government should consider providing continued financial support to those who are struggling with rent payments.
Past related article:
> Only 4% of budget for support program paid to coronavirus-hit workers [October 15, 2020]
