Due to the decrease in tax revenues of local governments due to the spread of the new coronavirus infection, the number of local governments that can manage their finances without receiving local allocation tax from the national government, so-called "non-granting organizations", has been 22 since last year. It has decreased to 54 local governments.
The Ministry of Internal Affairs and Communications has decided the amount of the ordinary allocation tax to be allocated this year, and Minister of Internal Affairs and Communications Takeda reported at a cabinet meeting on the 3rd.
According to this, 16,392.1 billion yen will be allocated to 1711 local governments this year.
The total amount was 799.5 billion yen, an increase of 5.1% compared to last year.
This is due to an increase in local government spending such as social security-related expenses and a decrease in corporate-related tax revenue due to the impact of the new corona, and this is the third consecutive year that it has exceeded the previous year.
On the other hand, the number of local governments that have a large amount of local tax revenue and can manage their finances without receiving the allocation tax, so-called "non-granting organizations," is 54, a decrease of 22 from last year.
Among them, as a result of Kawasaki City receiving the allocation tax for the first time in 6 years, there are no non-granting organizations in 20 ordinance-designated cities nationwide.
Due to the impact of the Lehman shock, the number of non-granting organizations decreased to 42 in 2010 and then continued to increase until 2019, but it started to decrease from last year.