Ruling Coalition Calls for Opposition Participation in ‘National Council’ to Discuss Consumption Tax Reduction, Refundable Tax Credits

Yomiuri Shimbun file photo
Prime Minister Sanae Takaichi calls for launching a national council during a New Year press conference in Ise, Mie Prefecture, on Jan. 5.

Senior members of the ruling coalition and opposition parties exchanged views on a supra-party “national council,” which would discuss reducing the consumption tax and introducing refundable tax credits among other issues, during an NHK program on Sunday.

Those from the ruling coalition called for the opposition parties to participate in creating an interim report on the issues at the council in June, yet the opposition parties were divided in their responses.

“I hope as many parties as possible will participate [in the national council],” said Shinji Inoue, acting secretary general of the Liberal Democratic Party, during the broadcast. “It’s very important that each party takes responsibility in making decisions on financial resources and other matters.”

Hiroshi Nakatsuka, secretary general of the Japan Innovation Party, the LDP’s current coalition partner, expressed the party’s intention to make decisions on the issues within fiscal 2026.

“We’ll indicate our direction in June,” he said.

On the other hand, Junya Ogawa, the leader of the Centrist Reform Alliance, indicated a cautious stance.

“If you are really willing to do these things for the lives of people in this country, then it’s not that we won’t join the discussion. It’s quite hard to judge unless we hear it directly from Prime Minister [Sanae] Takaichi.”

Kazuya Shinba, secretary general of the Democratic Party for the People, made a request for such a call.

“I don’t reject our party taking part in the council, but the ruling parties should put together the ideas first,” he said.

Meanwhile, Takahiro Anno, the leader of Team Mirai, which did not campaign on cutting the consumption tax in the recent House of Representatives election, indicated willingness to participate in the council.

“If there’s a chance, we’d definitely like to join and contribute to the discussion,” he said.