Corporate tax paradox
In today’s Nikkei newspaper, there was an article titled “Tax revenue increases even if the corporate tax rate is lowered.”
It seems to show the analysis result of overseas cases of Britain, Germany and South Korea where tax revenue increased even though the effective tax rate of corporate tax was lowered.
It cannot be ignored that each country has expanded its tax base in conjunction with the tax rate reduction, deregulation and the depreciation of its own currency, but if the corporate tax rate can be reduced early in Japan, it will move to Abenomics. I think there is almost no doubt that it will be a big tailwind for Japan.
Some foreigners praised the first arrow, “relaxation of another dimension,” and the second arrow, “large-scale fiscal mobilization,” and succeeded in sending a message that Japan had changed, both inside and outside the country. As for the third arrow, “Growth Strategy,” we are not trying to hide the disappointment.
Isn’t it the view of most foreigners that bold deregulation cannot be done forever? There is also a tone.
This time, the analysis result that put a stone in the view that it is difficult to achieve both tax rate reduction and fiscal consolidation, which is deeply rooted in the Ministry of Finance, was shown.
It may not be that deregulation should be done for anything, but we will implement deregulation with the same impact and execution power as “Kuroda Bazooka”, and strongly show the message that Japan will change seriously inside and outside the country. I want it.
If the yen depreciates, stock prices rise, benign inflation, fiscal consolidation, etc. can all be achieved, or if we can show a way to do it, Japan’s revival is real! !! I think everyone can be confident.
By Admin|2014-02-18|2014,News Release|