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Takaichi Avoids Tax Cut Pledge on Campaign Trail After Earlier Signal

by admin477351

Japanese Prime Minister Sanae Takaichi avoided mentioning a consumption tax cut during her campaign speeches on January 27, a sharp shift from comments made just a day earlier suggesting an early reduction.

Speaking for about 25 minutes at the start of her campaign for the February 8 Lower House election, Takaichi focused on economic growth, foreign policy and national security but made no reference to cutting the consumption tax. She also stayed silent on the issue during subsequent speeches in Fukushima and Miyagi prefectures.

Her omission contrasted with remarks made on January 26, when she indicated support for temporarily reducing the consumption tax on food and beverages to zero for two years, pending agreement by a cross-party council. She said at the time that implementation could be targeted within the next fiscal year.

Later, in a television interview, Takaichi reiterated her desire to move quickly but emphasized that any decision would depend on consensus within a national council involving both ruling and opposition parties.

Both government and opposition parties have included tax cuts in their election platforms, with the ruling Liberal Democratic Party pledging to accelerate consideration of making food items tax-free for a limited period. However, senior officials have indicated that Takaichi’s earlier comments went beyond the party’s official position.

While Takaichi has cited subsidy reviews as a possible funding source for the proposed tax cut, details remain unclear. Her shifting stance has drawn attention amid concerns over policy consistency during the election campaign.

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