1989年 竹下内閣 消費税法によって消費税3％導入
1997年 村山内閣 消費税5％まで引き上げ
2014年 安倍内閣 所費税8％まで引き上げ
2019年 安倍内閣 所費税10％まで引き上げ
Blurbs of the Day
The election is this weekend, and I would like to touch on that topic.
Recently, I started watching Tanaka Atsuhiko YouTube University, and he explains his expertise in a way that is easy for us to understand, so we can learn even from zero, which we know nothing about. If you're interested, I'd love to hear from you!
I would like to discuss the "consumption tax," which is an issue in this election, while looking back on some of the history of the tax.
What exactly is the consumption tax used for?
Background of the introduction of the consumption tax
1989： Takeshita Cabinet: 3% consumption tax introduced by the Consumption Tax Act
1997： Murayama Cabinet raises consumption tax to 5%.
2012： Stipulated that the consumption tax would be used for social security
2014 Abe Cabinet: Raise the consumption tax to 8%.
2019 Abe Cabinet: Raise the consumption tax to 10%.
Before the Consumption Tax Law, the Nakasone Cabinet introduced a "sales tax," which was a burden on the business side. The government wanted to secure a new source of revenue somehow, and the "consumption tax" reappeared with a new name. This seems to have shifted the burden from businesses to consumers, doesn't it?
In the above timeline, only the Abe cabinet has escaped being deposed. It seems that a trend of resignation was established when the consumption tax was raised. The consumption tax was strongly opposed by the public, and there was a reduced tax rate, and initially, a "benefit" tax, which meant that those with annual sales of less than 30 million did not have to pay it." It seems that the strategy was to convince the public by adding "perks.
Financial Accounting System
Let's go back to the election again.
Ruling party: The money is used for social security. It is a tax that is taken equally from everyone and is necessary for the benefit of the people.
The ruling party: It is a tax that is taken equally from everyone and is necessary for the people. On the other hand, the
Opposition party: It is used to make up for the reduction of corporate tax!
The ruling party: The tax is used to make up for the reduction of the corporate tax rate!
Ruling party: Article 1.2 of the Consumption Tax Law
The revenue from consumption tax shall be used for social security benefits such as pensions, medical care, and long-term care, and for expenses required for measures to cope with the declining birthrate, as established as a system, every fiscal year, in addition to what is provided for in the Local Allocation Tax Act (Act No. 211 of 1950).
The money is only used for social security, as stipulated in the "Law on Social Security" (Act No. 2, item (xi))! and refuted.
Certainly, both sides are not lying.
The "consumption tax" was originally introduced to correct the direct-to-indirect ratio.
In other words, the purpose was to reduce the ratio of direct taxes (corporate income tax and income tax) and increase the ratio of indirect taxes. If you still insist that this is not the case, all you have to do is to announce the breakdown of the consumption tax alone.
Under the accounting system, consumption tax is also included in the general account, and there is no way to verify whether consumption tax is really being used for social security.
If you don't want people to be suspicious, just separate the wallets and put the special account under the jurisdiction of the Ministry of Health, Labor and Welfare instead of the government.
It is similar to the situation we often see at New Year's when the mother says she will keep the New Year's money, but in the end we don't know where it went.
What is really going on? The sequel will be out tomorrow.