Japan Inc backs sales tax hike delay though frets about impact

Most Japanese firms support the wholesale replica designer handbags government’s decision to put off a hike in the national sales tax by more than two years due to weakness in the economy, a Reuters poll showed, KnockOff Handbags though corporate concern about the negative impact of the delay was also high.

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“The economy would deteriorate if the tax hike was not postponed, therefore fiscal consolidation would become out of the question,” wrote a manager at a firm in the auto sector.

But underscoring the Catch 22 situation that Japan has found itself in, just as many cited concerns about the delay. Thirty two percent of firms said cheap replica handbags consumer spending could stagnate on uncertainty about social security while 26 percent said an escape from deflation could be hindered as Replica Bags Wholesale firms would find it harder to Replica Designer Handbags replica bags raise prices.

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The question about the impact of the postponed tax hike allowed multiple answers, asking companies to choose up to two concerns. Around 240 high quality replica handbags firms in the poll of 509 big and medium sized companies answered questions on the tax.

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“They recognise that fiscal consolidation is an issue Designer Fake Bags that can’t be sidestepped if Japan wants to eliminate the root of future anxiety.”

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“If Britain leaves the EU, it would cause the yen to rise. We worry that a deterioration in exporters’ profits would hurt the economy as a whole,” wrote a manager of a construction firm.