TOKYO — Japan’s looming upper house election is shaping up as a referendum on whether the country should cut its consumption tax, as households continue to struggle with a cost-of-living crisis.
A clear dividing line has been drawn between the ruling coalition of the Liberal Democratic Party and Komeito, which is advocating for one-time cash handouts, and opposition parties calling for varying degrees of cuts to the consumption levy — which is a form of value-added tax (VAT) — on purchases of goods and services.
