Group 1 - The core issue revolves around Japan's implementation of a "single tax" which is actually a fee deducted from all residents to fund the "Child and Childcare Support Fund" starting April 2026, affecting both citizens and foreigners [1][2] - The tax is structured based on income levels, with higher earners paying more, up to a maximum of 19,800 yen, leading to public perception of it as a "single tax" rather than a "fertility tax" [2][3] - Japan is facing a demographic crisis with a projected drop in newborns below 700,000 by 2024, 15 years earlier than previously expected, alongside a record high death toll of over 1.6 million [3][6] Group 2 - The United Nations predicts that if Japan's birth rate does not improve, the population could shrink to 75 million by 2100, exacerbated by an aging population where 29.3% are over 65 years old [6][8] - The combination of low birth rates and an aging population poses significant challenges to Japan's social security system, with various government initiatives failing to stimulate birth rates [8][9] - The reluctance of young people to marry and have children is attributed to economic pressures and a cultural shift towards individualism, with high rates of lifelong singlehood among both men (28%) and women (18%) [9][11] Group 3 - Despite Japan's extensive support for families, including a one-time childbirth allowance of 500,000 yen and various educational subsidies, young people still feel financially burdened by the costs of raising children [9][10] - The perception of children as a financial liability, coupled with stagnant wages and rising living costs, contributes to the declining birth rate [11][16] - The current labor market dynamics show a disparity in wages between formal and informal employment, with average monthly salaries for formal employees at 330,000 yen compared to 230,000 yen for informal workers, further complicating the financial landscape for young families [16][19]

Core Viewpoint - Japan is facing a severe population crisis, prompting the government to implement a new "Child and Childcare Support Fund" starting April 2026, which will levy an annual tax ranging from 2,400 to 12,000 yen (approximately 120 to 600 RMB) to subsidize families with children [3][5]. Group 1: Population Crisis in Japan - Japan's total population has been declining for 14 consecutive years, with the birth rate dropping below 700,000 last year, marking a new low [9][10]. - The Japanese population, excluding foreigners, has shrunk to 120 million, decreasing by nearly 900,000 in just one year [10][12]. - The country has the lowest birth rate globally and the highest aging rate, with a significant proportion of single individuals [13][14]. Group 2: Government Response and Historical Context - The new tax is perceived as a "universal fertility tax" rather than a "single tax," as it applies to all individuals who pay health insurance, regardless of whether they have children [5][6]. - Historically, various nations have implemented similar taxes on single individuals, including ancient Greece and Rome, as well as the Soviet Union, which had a "childless tax" until 1992 [6][7]. Group 3: Challenges in Stimulating Birth Rates - Despite over 66 trillion yen (approximately 3 trillion RMB) invested in fertility incentives over the past 30 years, Japan's birth rate has not improved significantly [19][24]. - Current support includes a one-time childbirth subsidy of 500,000 yen (about 25,000 RMB) and annual childcare subsidies of 120,000 to 180,000 yen for children aged 0-3 [20][21]. - The societal trend of declining marriage and increasing single-person households complicates the situation, with predictions indicating that by 2035, half of the population aged 15 and above may be single [17][26].