The International Monetary Fund (IMF) has recently released a statement urging Japan to avoid trimming down its consumption tax. As part of its annual economic assessment, the IMF noted that a cut in consumption tax could have potentially adverse consequences on Japan's already strained fiscal conditions. The financial body emphasized the necessity of revenue for the country's increasing social security expenses.

In Japan, the decision to reduce the consumption tax can have significant impacts on the economy and societal values. Consumption tax affects the purchasing power of the general public and also the country's revenue stream. A burgeoning aging population has increased pressures on Japan's social security system, making the revenue from taxation crucial to its sustainability.

In the European Union, VAT rates vary by country but there is a minimum standard rate of 15%. However, depending on economic situations, countries may propose VAT changes as a measure to stimulate spending or collect more revenue. In the United States, sales tax rate varies by state, there is no federal sales tax, decisions to change these rates are often politically charged.