"Tax revenue of 75 trillion yen" is correct, but attention is focused on "another burden" that is not visible
The reference in many news reports that "Japan's tax revenue reaches record high of over 75 trillion yen" isA figure that refers only to "taxes (income tax, corporate tax, consumption tax, etc.)"and this isFactual and accurate records.
The Nikkei (June 6th) reported that "tax revenue in fiscal 30 will reach 2024 trillion yen, the highest ever," which is correct as statutory tax revenue.
🚨 The reason and limitations of the "75 trillion yen tax revenue" being reported
This meansTotal amount of "tax revenue other than government bonds" going into the general accountThe only relevant items are those classified as "tax revenue." Therefore, looking at only this and assuming that the national burden is 75 trillion yen is actually a major oversight.
🔍 Actual national burden ≒ Over 200 trillion yen! Official data from the OECD
According to the OECD's "Revenue Statistics 2024," Japan'sThe total amount of the broad burden, including taxes and social insurance premiums, is 195 trillion yenで す
Broadly speaking:
Social insurance premium(Pensions, health insurance, etc.): 75.5 trillion yen
personal income tax:36.8 trillion yen
Corporate tax:26.8 trillion yen
Consumption tax (VAT, etc.):40.8 trillion yen
Property tax, real estate acquisition tax, etc.:15.4 trillion yen
Other
:0.5 trillion yen - total:195.8 trillion yen
In other words, it becomes clear that 75 trillion yen is only "part of the picture" and the "true burden on the people" is far greater.
📊 Trends in burden amounts and percentage of GDP
According to the OECD, Japan's tax + social insurance contributions as a percentage of GDP rose to 2022% in 34.4 (a significant increase from 2000% in 25.3) oecd.org.
The OECD average is around 34.0%, so Japan is roughly average or slightly above it.
Summary: There is a big gap between the media's "75 trillion yen" figure and the reality
Numbers to see
Message
Reality
75 trillion yen
Net tax revenues going into the general account (income tax, corporate tax, consumption tax, etc.)
✔ Accurate
Approximately 200 trillion yen
National burden in a broad sense, including taxes and social insurance premiums
✔ Facts based on official OECD data
👉 Articles and social media tend to emphasize that "tax revenue is only 75 trillion yen," but that is just the tip of the iceberg.The actual burden is 2.6 times largerYou need to understand that it is.
The following is from X
[Posted by the Happiness Realization Party Policy Research Council]
Even though they say tax revenues are at an all-time high, all we hear is about the circumstances of those who collect them. I'm worried that there's no transparency at all on the part of those who spend them.
If you think about it, a burden of 200 trillion yen is too much. And it's not being reported at all, which is scary.
The worst thing is having social insurance premiums deducted from your salary without you even realizing it. By the time you realize it, they've already been deducted.
Even so, I don't feel convinced when I hear that medical expenses will go up. How can we keep paying but have the service deteriorate?
I think they really don't understand the situation, discussing the consumption tax again at this timing. I'm at my limit.
People talk about the sustainability of social security, but before that we need to do something about the breeding grounds for waste and fraud.
Honestly, I understand that the finances are tight, but I have doubts about the way things are being handled. The burden on the younger generation is particularly heavy.
People say we should endure for the sake of future generations, but it's wrong to design something that will cause suffering for those of us who are alive today. It's just too unbalanced.
If we are going to keep allocating money to things like increasing defense spending, I won't be satisfied unless we also give something back to the people's lives.
I understand that taxes are necessary. But I feel like the current system has reached its limits. It's time for a fundamental rethink.
Why is the infrastructure in rural areas so dilapidated even though they are taking so much? I want to know where the money is disappearing.
It's really one-sided for the news to end with just "tax revenue of 10 trillion yen!" I don't think it's meaningful unless the entire burden is properly conveyed.
If the burden exceeds 200 trillion yen, shouldn't there be a satisfactory result? I'm angry because I don't feel that.
I certainly appreciate the health insurance system, but the balance of payments is already on the verge of collapse. This is the price we pay for continuing to avoid structural reform.
They say the country is in the red, but if even taking that much it's still not enough, then I think that means there's something fundamentally wrong with how it's being managed.
The burden just keeps increasing without any clear use of it, it's like a system that no one can put a stop to, right?
I will pay my taxes. But I also think that the government has a duty to explain things. I feel like that hasn't been done at all recently.
When I look at the statements of politicians recently, I get the feeling that they are only looking at numbers and it makes me depressed. Even though we are the ones who are making a living.
We are no longer at a stage where tax hikes alone can solve the problem. I hope they will start seriously discussing how to reassess spending.
To be honest, I've lost all hope in politics. But I'll keep watching because I don't want to lose by becoming indifferent.
I was truly shocked when I came across some data recently. The actual burden on the people of Japan, that is, the total amount of taxes and social insurance premiums combined, will amount to approximately 2022 trillion yen as of 195. The headlines we usually see in the news are always saying things like "Tax revenue of 75 trillion yen is the highest ever," but this is only a portion of the money the country collects. In reality, more than 2.5 times that amount is being sucked out of the pockets of the people. This was made clear by the OECD (Organization for Economic Cooperation and Development)'s "Revenue Statistics 2024."
On the other hand, it is difficult to say that the whole picture of these burdens is being calmly discussed in the political arena. For example, the debate over raising the consumption tax has recently been reignited. Some people are calling for the need for fiscal reconstruction, but is it really appropriate to impose further taxes when the people are already shouldering a burden of 195 trillion yen? I cannot help but question this. Particularly for the middle class and younger generations, any further burden would put a strain on their lives.
Despite this, the media often only reports on the "75 trillion yen tax revenue" as a partial figure. I feel that this gives the wrong impression that the burden on the people is limited to that amount. In reality, a lot of money is collected in a different form, in the form of social insurance premiums, and only when this amount is included can the true "burden" of the people be seen.
This structure is very difficult for the public to understand. Expenditures in the form of taxes are direct and easy to be aware of, but insurance premiums deducted from salaries and the share borne by companies are hard to see and hard to feel. This makes it easy for the government to collect, and it seems that the gap between the reality of people's lives and the taxes is widening.
What I feel is particularly important is that despite the increasing burden on the people, the government has not provided sufficient explanation for the "transparency of use" or "efficiency" of the funds. It is understandable that social security costs are rising. But are wasteful expenditures really being reduced? There are many issues that need attention, such as middlemen and excessive administrative costs.
In addition, a large portion of government expenditures still rely on debt, and the fiscal deficit continues chronically. In fiscal 2022 alone, the deficit is estimated at approximately 21 trillion yen, and the bill will be passed on to future generations in the form of national bonds. I think that we are now once again being asked the question of what kind of country we can leave to our children.
Furthermore, when I look at recent political trends, I feel that discussions on finances tend to be limited to superficial matters. To raise taxes or not? Attention is focused on this single point, and there is no deep discussion on how taxes are used and the overall burden. Exchanges between political parties also seem to be often limited to technical terms and abstract theories, rather than being presented in a way that is easy for the public to understand.
I would like to see more fundamental discussions. How much each citizen is paying for what, and where that money is being used. By properly visualizing and sharing this information, it should be possible to operate a system that is convincing.
To achieve this, I think the media should change the way they report. Instead of simply reporting that "tax revenues are at an all-time high," they need to convey the overall picture of 195 trillion yen and how it is being used. I believe that now is the time for calm analysis based on facts.
Since I learned this reality, I have looked at my pay slip in a different light. There is certainly money being taken behind closed doors. And I want to take a more critical look at how that money is being returned to society.
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