TOKYO - Delegates from the Japan Business Federation told Finance Minister Hirohisa Fujii on Wednesday that the group is opposed to the introduction of the proposed environmental tax
for now, federation officials said.
With regard to the possible introduction of an environmental tax
in fiscal 2010 in return for the abolition of gasoline and other automobile-related tax surcharges, the draft leaves the matter to the DPJ-led government.
15, 2009 (CENS)--To alleviate the impact on local industries, the greenhouse-gas tax under the prospective energy and environmental tax
will be cut to NT$700-800 per metric ton, from the original proposal of NT$2,000, a revision which will halve the projected income from the energy and environmental tax
to NT$400 billion in the 10th year, according to the latest tax reform draft just completed by the tax reform committee, under the Executive Yuan.
A new environmental tax
has been upheld by a Dutch appeals court after challenges by aviation companies.
This site and its links provide ideas on current and future environmental tax
proposals for the United States and other countries.
The market for 4x4 vehicles in Spain could also be hit by a new environmental tax
But more than half were not confident in making long-term investment decisions at present, and wanted greater transparency around how government uses environmental tax
revenues to fund environmental initiatives.
Their insight was that while an environmental tax
would enhance efficiency by discouraging pollution, it was still a distortionary tax and could interact with other distortionary taxes with first-best efficiency losses.
This has become a sticking point between the Ministry of Environment (MOE), which favours an environmental tax
on fossil fuels, and the Ministry of Economy, Trade and Industry (METI), a proponent of private sector investment in overseas projects in preference to mandatory target reductions for industry.
"The idea that you can have some sort of nice, cuddly environmental tax
that is going to yield you huge gains on income tax - forget it, unless you are prepared to do something that would squeeze people pretty hard," he told reporters at his monthly Downing Street press conference.
Japan would have to levy an environmental tax
that is 1.3-times larger to achieve obligations set under the Kyoto Protocol if the proposed introduction of such a tax is delayed by one year, according to an estimate made by a state-run research institute on the environment.
Historically, a tax on crude oil and certain chemicals and an environmental tax
on corporations were the primary sources of revenues for the trust fund; however, the authority for these taxes expired in 1995.