Reluctant to Answer the Questions in Diet

Receiving the policy speech by Prime Minister Fumio Kishida, the both Houses of the Diet entered in the phase of questioning by the party leaders in plenary sessions on Tuesday. While the opposition leaders raised skepticisms against the income tax reduction, Kishida did not tell the details of his idea. News reports revealed that the government and the leading parties would make a deal on the tax cut and allowance. Kishida seems to be prioritizing the discussion of his party to the Diet session.

The president of Constitutional Democratic Party Kenta Izumi argued that tax cut, which needs legislative process in next spring, would be too slow to help the families. Paralleling his words with Kishida’s yelling of “It’s economy, economy and economy,” Izumi said “It’s benefit, benefit, and benefit,” and required the government to distribute ¥30,000 to the six out of ten families, which were categorized in the middle class or lower income.

Kishida answered that he would consider, including tax cuts, as soon as possible. To the question about when the tax increase for funding defense budget would be exercised, Kishida said he would decide in consideration with perspective for securing budget resource by administrative reform or trend of wage increase. Those answers by Kishida were something mostly needless to say.

 

On the same day, Tax System Research Council of Liberal Democratic Party had a meeting and discussed the idea of tax cut, which was returning fixed amount of ¥40,000 to each taxpayer. That would be a temporary measure for a year. According to the report of Yomiuri Shimbun, it is about returning ¥3.5 trillion, which was yielded by the growth of tax income from 2020 to 2022, to 90 million taxpayers. To the family which do not pay income tax because of low income, the government will distribute the allowance of ¥70,000. Kishida did not touch on that discussion in the Diet session.

 

Izumi also asked Kishida about how the budget for the measures on low birth rate would be appropriated. There is a discussion to raise the fee for social insurance including medical service, which may cause further burden for the families with kids. “With solidarity of the participants to the socio-economic community, we will owe the cost in an impartial manner,” answered Kishida. It was unclear what exactly he was saying.

 

On the notorious My Number Card, Kishida indicated minor change of the plan. Although the government had insisted on abolishing traditional health insurance card by the fall of 2024 and replace it to My Number Card, Kishida referred to the possibility of extension of the limit.

 

There is a discussion for securing assets of Family Federation for World Peace and Unification, for which arguments over necessity of new legislation is ongoing. Kishida told that he would watch closely the discussion of the parties, suggesting willingness to further legislative action.

 

Kishida’s ambiguity on the policies is caused by the weakness of his political basis. Asked about constitutional amendment by LDP Deputy Secretary General Tomomi Inada, Kishida said that he would tackle on the issue responsibly. He looks very honest to the conservative powers in LDP.