The government's Tax Commission is proposing about 100 billion yen ($1.3 billion) per year in tax breaks for people and companies affected by the Great East Japan Earthquake.
The government's Tax Commission is proposing about 100 billion yen ($1.3 billion) per year in tax breaks for people and companies affected by the Great East Japan Earthquake.
Special tax deductions on home loans taken out by disaster victims and reduced taxes for employers in the disaster area are among the measures backed by the commission on Oct. 4.
In an effort to encourage the hiring of workers in the disaster areas, the commission is recommending that companies be allowed to deduct 10 percent of the cost of hiring disaster victims in districts designated for reconstruction from corporate taxes.
With some firms still nervous about moving to the disaster zone, members of the ruling Democratic Party of Japan's working party on taxes are lobbying for further incentives, and Finance Minister Jun Azumi has asked Finance Ministry officials to look into the issue.
It is not clear if those proposals will be ready in time for legislation on the commission's proposals, which is due to be submitted to the next extraordinary Diet session.