Japan Urged to Start Cutting Corporate Tax Next Year: Economy

Japan could cut its corporate tax rate as early as next fiscal year by 2 to 3 percentage points, gradually lowering the levy toward 25 percent in later years to boost the nation’s competitiveness, a tax panel member said.

“The first step will make businesses inside and outside the country believe Japan is serious,” said Norio Sasaki, Toshiba Corp. vice chairman and member of a government panel subcommittee on corporate tax reform. Cuts can be “gradual” as long as “the direction is clearly set toward levels around 25 percent -- matching those in Asia.”