Japan's Tax Revenue Hits 24-Year High in FY 2015

Tokyo, July 1 (Jiji Press)--Japan's national tax revenue in fiscal 2015, which ended in March, increased by 2,314.7 billion yen from the previous year to 56,285.4 billion yen, its highest level in 24 years, the Finance Ministry said Friday. But the figure was 138.5 billion yen short of the government's estimate made in January. Corporate tax revenue totaled 10,827.4 billion yen, posting its first fall in six years, due to damage to corporate earnings from the yen's strength. The figure was 913.5 billion yen below the estimate. The budget surplus, or revenue minus expenditure, plummeted to 254.4 billion yen from 1,580.8 billion yen. The tax revenue shortfall and falling budget surplus pose a challenge for Prime Minister Shinzo Abe as he needs to find funding sources to assemble an economic stimulus package this autumn. Income tax revenue was 217.1 billion yen higher than the estimate due to increased wages, while consumption tax revenue was 314.2 billion yen above the estimate. On the expenditure, the unused amount, including for interest payments on government bonds and reserve funds, stood at 1,445.9 billion yen. The issue amount of new government bonds came to 34,918.3 billion yen, its lowest level in seven years.Copyright JIJI PRESS LTD.