TOKYO -- Japan's government and the ruling Liberal Democratic Party are likely to agree not to include specific dates of when to increase taxes to support defense budgets in the fiscal 2024 outline of a tax reform plan, Nikkei has learned. They are now leaning toward shelving a tax hike in 2025 and introducing it in 2026 or later.
A delay in the measure to secure stable funding for the defense budget, which totals some 43 trillion yen ($295 billion) over five years, could raise concerns that it may hamper the ongoing buildup of Japan's deterrence capabilities.
