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Reuters
Reuters
Business

Japan cautious on capital gains tax; must stick to increasing defence

Japan capital gains Seiji Kihara Fumio Kishida
A Japan Yen note is seen in this illustration photo taken June 1, 2017. REUTERS/Thomas White/Illustration

Japan should avoid rushing into raising capital gains tax as doing so could send a wrong message to markets when Japan is encouraging financial investment, a senior government official said on Sunday.

"Strengthening taxation could send a wrong signal that runs counter to our aim of expanding investment," Deputy Chief Cabinet Secretary Seiji Kihara said in a programme on broadcaster FNN, referring to capital gains tax.

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