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Japan Weighs 2027 Income Tax Hike for Defense as Party Blocs Realign and Safety Cases Draw Scrutiny

The funding push is expected to draw resistance because defense budgets have posted over ¥100 billion in unused allocations each year and households face persistent price pressures.

Overview

  • Government and Liberal Democratic Party officials are considering starting an income tax increase in January 2027 to secure additional defense funding, according to political reporting.
  • As the ruling bloc advances a bill to reduce House of Representatives seats, opposition parties warn stricter rules on corporate and group donations could be deprioritized and question the prime minister’s committee answers.
  • Two Hokkaido-elected members joined Ichiseikai led by Ichiro Ozawa, pushing the group above the 20-member threshold needed to nominate a candidate in the Constitutional Democratic Party leadership race.
  • A coalition led by the Hokkaido Peace Movement Forum submitted signatures from 346 unions and civic groups to Governor Naomichi Suzuki opposing a restart of Hokkaido Electric’s Tomari nuclear plant Unit 3.
  • Public safety updates included Tokyo police arresting a former Sumiyoshi-kai affiliate accused of fraudulently collecting mikajime-ryo, an injury-causing robbery under investigation at a Nobeoka gas station, a Hakodate SNS investment scam with ¥6.4 million reported lost, and bank staff in Nakashibetsu stopping a small advance-fee payment scheme targeting an 82-year-old.