Gov't plans 5% rebates for some cashless payments after tax hike
Japan Today -- Nov 23
Japan plans to give a 5 percent reward-point rebate to consumers on some payments made through credit cards and other cashless means as a way of underpinning domestic demand after a planned tax increase next October, government officials said Thursday.

The special measure, expected to last for roughly nine months until the 2020 Tokyo Olympics, was expanded from an earlier plan to implement a 2 percent rebate program.

Fumio Kishida, policy chief of the ruling Liberal Democratic Party, told reporters that Prime Minister Shinzo Abe had informed him of the plan in a meeting at the premier's office.

The rebate will be handed out in the form of reward points rather than cash, and will not apply to payments made at large store chains, according to officials with knowledge of the plan.

The initiative is part of a series of steps the Japanese government plans to take to ensure that raising the consumption tax from the current 8 percent to 10 percent does not put the brakes on economic activity.

It is also intended to encourage greater use of cashless methods in payment as dependence on cash among Japanese consumers is relatively high.

政府は来年10月の消費税引き上げの際の景気対策として、キャッシュレス決済を利用した場合のポイント還元を検討していて、政府はこれまで増税した2%分を還元する方向で調整していたが、安倍総理は22日、2019年10月~2020年6月までに限って5%のポイント還元を検討する考えを示した
News sources: Japan Today, ANNnewsCH
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