In December 2011, Japanese Prime Minister, Noda Yoshihiko, decided to raise consumption tax to 8% from April 2014 and to 10% from October 2015. After this decision, some of the people opposed this plan.
In this blog, I'll see this problem from two different views.
(ⅰ) Advantages of Raising Consumption Tax
There are two advantages of raising consumption tax. First one is government can tax all Japanese nation. Second one is this tax is fair for all people. Let me explain one by one. First, government can tax all Japanese nation, because everyone purchases something almost everyday. That means you pay not only for the cost price but also consumption tax. Second, this tax is fair for everyone, because this tax is proportioned to the money people spend. Shortly, more and more people use their money, more and more the government get consumption tax.
(ⅱ) Disadvantage of Raising Consumption Tax
There is one disadvantage of raising consumption tax. That is Japanese business condition could be dull. If consumption tax is raised, most of all Japanese nation (especially people who don't have much money) try to save their money, because all products are more expensive than ever. That means less money circulate through the market. This bad circulation could cause the depression.
Next, I'll show you some data about consumption tax. These data are based on the website of Ministry of Finance. The consumption tax is about 11.0% of all taxes.
Then, I'll show you another data. See the graph below.
Compared with other developed countries, Japanese consumption tax is one of the lowest rates. EU countries' consumption tax rates are very high this is because this is the duty of this union.
Lastly, I'd like to give you my opinion. I believe Japanese Government should raise consumption tax, because Japanese Government requiring lots of money to solve some problems, such as pension system and social welfare. It is sure that some people disagree with this plan, but this is the time when we should raise consumption tax.
How do you think about this problem? Do you agree with raising consumption tax?
This is data about consumption tax.
Next, I'll show you some data about consumption tax. These data are based on the website of Ministry of Finance. The consumption tax is about 11.0% of all taxes.
Then, I'll show you another data. See the graph below.
Lastly, I'd like to give you my opinion. I believe Japanese Government should raise consumption tax, because Japanese Government requiring lots of money to solve some problems, such as pension system and social welfare. It is sure that some people disagree with this plan, but this is the time when we should raise consumption tax.
How do you think about this problem? Do you agree with raising consumption tax?
This is data about consumption tax.
My family welcomes any increase in consumption tax, because the lower classes shirk off paying all of the other kinds of taxes whenever possible, while such taxes are strictly enforced upon upper classes during business. Everyone is forced to pay consumption taxes at all costs.
ReplyDeleteI'm half and half on taxation in general. I know half of it goes to current functions that have been proven to be of practicality over the past few decades, and then the other half would go to waste either through bureaucratic sabotage or enforcement of idiotic policies. It's the same everywhere. The current Japanese government as well as its historically unchanged constitution haven't exactly proven to be trustworthy in every sense either. Internet surveys show most citizens wish for a complete change in the party system, because the current system allows treason to pass by without justice.
Hi! This is Natsumi.
ReplyDeleteI agree with raising consumption tax because there may be a few possibility of Japanese economy going to be better. A few times ago, economy is not so good, but now it is said that business condition has becoming better little by little. In short term, raising consumption tax is said not good, but in long term, this decision will be considered as a good result someday, I think.