Japan’s Ruling Party Considers Corporate Tax Hike for Defense

Japan’s ruling Liberal Democratic Party is considering tax hikes on corporations, individual income and tobacco from 2024 or later to help fund a planned expansion of defense spending, according to a document seen by Bloomberg.

An increase of 4 to 4.5 percentage points in corporate tax, a 1 percentage point increase in income tax and an extra ¥3 per cigarette on tobacco are under consideration, the document showed. Companies with revenue of less than 10 million yen a year won’t be affected by the corporate tax hike, according to the document.

The general policy of increasing taxes would be included ...