Japan PM vows to proceed with temporary cut in sales tax

TOKYO, July 30 : Japanese Prime Minister Sanae Takaichi announced her intention to proceed with a sharp two-year cut on an 8 per cent sales tax on food items, a senior ruling party official said on Thursday, a move set to strain the country's worsening finances.In a meeting with ruling party executives, Takaichi ordered them to proceed with preparations to cut the levy to 1 per cent for two years from April next year, the official told reporters.With the premier's order, the ruling Liberal Democratic Party (LDP) will start discussions at its tax panel to seek consensus.The government will likely finalise the tax cut plan in a cabinet meeting in early August, and submit relevant legislation in a parliament session convening in autumn. LDP Secretary-General Shunichi Suzuki told reporters the