NIPPON



 

The number of local governments that are able to operate their finances without tax allocations from the state thanks to their abundant tax revenues increased for the fourth consecutive year, Japan’s internal affairs ministry said Tuesday.

In fiscal 2025, such local governments totaled 85, up by two from the previous year, reflecting the growth of local tax revenues backed by robust corporate performance.

On Tuesday, the ministry decided the amounts of fiscal 2025 ordinary tax allocations to be given to respective local governments with the aim of supplementing shortages in their financial resources. Internal affairs minister Seiichiro Murakami reported on the allocations at the day’s cabinet meeting.

Of the country’s 47 prefectures, Tokyo is the only one not to be given tax allocations. The remaining nonrecipients are cities, towns and villages.

The town of Kikuyo in the southwestern prefecture of Kumamoto, which hosts a plant of Taiwan Semiconductor Manufacturing Co., the world’s leading semiconductor contract manufacturer, became a nonrecipient for the first time.