Japan Ruling Bloc Concedes More over Income Tax Threshold

   Tokyo, Feb. 21 (Jiji Press)--Japan's ruling bloc made another concession in its talks with the opposition Democratic Party for the People on Friday over a review of the annual income tax threshold, currently set at 1.03 million yen.
   In the talks, the tax policy head of Komeito, the Liberal Democratic Party's coalition partner, proposed setting an income cap of 8.5 million yen for planned tax deduction expansion, higher than the 5-million-yen cap recently proposed by the LDP.
   Yoichi Miyazawa, the LDP's tax policy leader, expressed his approval of Komeito's proposal, under which people with annual incomes of up to 8.5 million yen will be divided into four groups, with larger deductions for lower income levels.
   The fiscal 2025 tax reform legislation under discussion in the House of Representatives, the lower chamber of parliament, calls for raising the tax threshold to 1.23 million yen by boosting the basic deduction and the salary income deduction by 100,000 yen each.
   The LDP recently proposed hiking the threshold to 1.6 million yen permanently for those with annual incomes of up to 2 million yen by increasing the basic deduction by 370,000 yen.

(2025/02/21-23:00)

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