Gov't submits consumption tax cut bill, aims for passage this Diet session

TOKYO - Japan's government on Friday submitted a bill to parliament to temporarily cut the consumption tax on food and drink and implement an income-linked cash benefit system for lower earners, aiming to secure its passage during the current extraordinary Diet session.

The consumption tax on food and drink products would be reduced from 8 percent to 1 percent for two years from April, while there would be annual payments for low- to middle-income earners. It would be the first cut since the consumption tax was introduced in 1989.