Ruling bloc to agree on tax reforms spurring car, home purchases

People who purchase new cars after the Oct 1 tax hike will save between 1,000 yen and 4,500 yen each year depending on the model they choose. Owners of small-sized vehicles will get the deepest cuts, although trucks, minivehicles with engines no larger than 660 cc and second-hand cars will be ineligible, the sources said.

These aren't any savings! This is another gimmick by Abe to make it APPEAR he is doing something to ease the tax burdens. BULLSHNIT!

How about a tax deduction for items everyone can benefit from like food or transportation?

One question: Are these people insane?

People who purchase new cars after the Oct 1 tax hike will save between 1,000 yen and 4,500 yen each year depending on the model they choose. 

Im thinking with that windfall, I will choose a variety of cup noodles or some tasty cheese.

As above are these people insane? They have consistently proven that to be the case.

This is just another tax cut for the rich. Poor people already struggling to feed and clothe themselves, and to pay heating and cooling costs, will pay increased consumption taxes so the rich can buy a new car for a cheaper price. Disgusting economics.

Stop taxing food and child-rearing goods. Then Japanese can better afford to have kids and raise the birthrate in Japan.

Make food cheaper! It would help everyone.

Tasty cheese? well after decades of living in Japan if it turns blue that's the best I can get. As I sit uncomfortably due to the millions of yen stuffed in my pockets I was wondering how or what should I spend it on, it's a daily conundrum? But now I can save ¥1000 to ¥4.500 yen on a car that depreciates as soon as I by it. Buying a house? Got one. Lucky me the 60% of the work force on minimum wage and short term contracts, don't see that happening. Don't think politicians are aware but their monthly salary is what most people earn in a year. Good job. The "discount " wouldn't pay for a lace curtain to hide behind whilst being shofar driven by a tax payer funded driver.

It pains me to have to watch this country dying right in front of me, BUT to have abe & his band of merry IDIOTS start sticking knives into its own...…….

This is way beyond seriously messed up & the pain is coming MUCH FASTER than predicted, witness them trying to scam people from 3rd world countries to work for slave wages in crappy living conditions...………

The future is looking uglier day by day

Stop taxing food and child-rearing goods. Then Japanese can better afford to have kids and raise the birthrate in Japan.

That is basic logic. An extremely rare concept here.

People who purchase new cars after the Oct 1 tax hike will save between 1,000 yen and 4,500 yen each year depending on the model they choose. 

Take me to the neatest car showroom.

The slippery slope just got more slippery...

People who purchase new cars after the Oct 1 tax hike will save between 1,000 yen and 4,500 yen each year depending on the model they choose. 

They gotta be kidding...!

At the same time, the government will roll back current tax cuts on environment-friendly "eco-cars" as part of efforts to raise funds needed to cover the revenue shortfall of 132 billion yen resulting from the permanent tax cut on car ownership.

What the hell ??!!!

Are they stupid, insane, or do they just don't care anymore ????

The package is part of the Abe administration's efforts to prevent a repeat of the wild swing in spending that followed the previous consumption tax hike from 5 percent in 2014, pushing the country into a recession.

Nothing will stop Japan from plunging into another recession. You are raising taxes while keeping wages stagnant. Basically, you are diminishing people's purchasing power. If people don't have money, they won't buy. economics 101.

some economists have argued that Japan never completely recovered from the 2014 one. Abe will rue the day he raised the consumption tax. Then again, what does he care? Its not like the sheeple here are going to vote him out of office.

Bintaro

Are they stupid, insane, or do they just don't care anymore ????

Um...Is that multiple choice? Do I have to choose just one answer? How about D- ALL OF THE ABOVE

Kobe White Bar Owner

When were these clowns lobotomised?

They weren't. Medical requirements insist the subject have a brain for that procedure..

marcelito

Right....and in order to avoid the inevitable downturn , lets just come up with the exact same ' measures' that didn,t work last time, shall we old chaps?

Exactly brother! And what did Einstein say about repeating the same thing over and over again??

Ruling bloc to agree on tax reforms spurring car, home purchases

Yesssssss!! Thy will make houses and cars cheaper. What a miracle coming from kasumigaseki.

People who purchase new cars after the Oct 1 tax hike will save between 1,000 yen and 4,500 yen each year depending on the model they choose.

Smashes keyboard

Yes the way to help the "economy" is to get the general public in debt whist giving big business more money! #idiots

This really is a regressive way to reform taxes. They are raising them on all the basic necessities of life on the one hand while lowering them on big ticket expensive things like houses and cars that the poor can't afford to buy on the other.

Its also stupid policy even if we take its stated goals at face value. Nobody is going to be incentivized to make a massive purchase of a car or house that they weren't going to buy anyway based on tax incentives which are that small.

Well these guys surely didn’t disappoint again and cooked up this prize winning doozie! But hey nothing’s gonna change here as its Japanese hoodwinking Japanese and that my friends, in the land on Nod, is OKAY. It was programmed-in early on. Locally manufactured Japanese motherboards are only compatible with one installation programme and so the cycle of absolute obiedience and cult-like worship is never broken. It’s a winning combo for the Elites doing whatever they want.

So let me get this right, if you buy a new Kei car after 1 Oct this year, you will be stung with the extra 2% Consumption Tax . . . . . less between 1000-4500 yen.

I'm not feeling the love here.

To get a driving license, people have to go to driving schools and it costs 300,000 yen and over. It is too much. How much does it cost in the States?

Get all the owners of the new cars with enormous bargains to turn up their ACs, wind down the windows and drive through Tokyo cooling people down during the Olympics.

From the Ministry of 3% of the workforce getting hammered on Premium Friday while wearing floral summer shirts.

What did i just read? When were these clowns lobotomised?

Are they stupid, insane, or do they just don't care anymore ????

Rinse repeat, rinse repeat, rinse repeat, rinse repeat, rinse repeat, expecting a different result. Yes, there's some insanity and incredible stupidity involved.

Rich people with Lexus get a break and the big companies bosses are Nippon kaigi members. Where I live 90% of cars are K cars.and trucks.

Hmmm Maybe afraid of a little "Yellow Jacket " syndrome and trying to pre-empt any possible repercussions from tax inflation with albeit ludicrous measures......

This is so wrong to divide people into groups and treat groups differently. Abe didn't divide people when taxed them, did he ? Poor will be even poorer, and rich will be even richer.

At present, homeowners can trim up to 500,000 yen per year off of their income and residential tax payments for a duration of 10 years.

I thought this was only for deducting interest paid on mortgages, not something you would get if you purchased a small, cheap starter home and paid it off right away. So this "tax cut" is only for people who line the banks' pockets. Buy a dirt-cheap house in the inaka to raise your kids in, for cash, and you don't get anything.

If they want to stimulate the economy, the govt would do much better to raise the minimum wage to 1500 yen an hour and cut taxes on individual earning less than 3m or families earning less than 5m a year.

This is not a bad idea in principle. Unfortunately the minimum wage is set at the prefectural level, not the central government.

But it is ridiculously low, even in Tokyo (highest in the country) it is less than 1000 Yen per hour, which is insane.

What’s scary in all this is that people still like and believe him - our Dear PM.

Im thinking with that windfall, I will choose a variety of cup noodles or some tasty cheese.

"Tasty cheese" at ￥1000 here? Me wonders what you think is tasty! lol!

It’s the parking that prevents people from buying a car not the car’s selling price...

First 660 cc and second-hand car's users should cut tax

Reminds me of the great minimum wage rise of 30 yen per hour. An insult to Japanese people just like this car tax fiasco.

If they want to stimulate the economy, the govt would do much better to raise the minimum wage to 1500 yen an hour

For heaven's sake, don't tell Abe that! He'll use it and bring the country to its knees!

Bintaro

Are they stupid, insane, or do they just don't care anymore ????

Yes. All of those.

And some!

The minimum wage should be increased until demand for workers drops to match supply. Inefficient employers who cannot afford to pay higher wages will be forced out of business and the productivity of the economy will increase.

The last thing Japan, or the world needs is more cars on the road. A tax break or government rebate to incentivize bicycle purchases would actually help more people and be more responsible.

2% of consumption tax increase would increase the tax revenue by 5.6 trillion yen the tax deduction of this car tax reform is expected to be just 100 billion yen. The result is obvious..

BertieWoosterToday 02:23 pm JST

Put the minimum wage up to ¥1,500, then everybody will have to double their prices so that they can afford to keep going. With sky high prices for everything, foreign exports will rocket and local businesses will go under. ---------------------------------------------------------------------------

Those countries with a good minimum wage like New Zealand are doing fine, and food etc. is half or more less than Japan. NZ does have their GST tax of 15% but all New Zealanders receive superannuation ( pension) and don't have to pay in to a Japanese like pension scheme which many people can not afford. Also public hospitals are free and there is an accident compensation system which is funded by employers.

Minimum wage in Japan really needs to be Yen 1,600.

In the era of global warming, sales of cars that are electric powered should be incentivized, IMO, although encouraging public transportation would be even better.

Put the minimum wage up to ¥1,500, then everybody will have to double their prices so that they can afford to keep going. With sky high prices for everything, foreign exports will rocket and local businesses will go under.

Those countries with a good minimum wage like New Zealand are doing fine

Comparing a country with 4.8 million to one with 127. Million isn’t reasonable.