This is a preface article published in Issue 160 of the Financial Review by the Policy Research Institute, Ministry of Finance. Professor Yukimasa Kitamura, President of Rissho University, comprehensively discusses the research trends and future prospects of economic analysis using tax data in Japan.
Key Points
1. Overview and Background of the Preface
- Author: Yukimasa Kitamura (President of Rissho University)
- Purpose: To present the current status and future prospects of academic use of tax data in Japan
- Background: Japan's initiatives amid international progress in academic use of administrative data
- Significance: Systematic organization and direction setting for tax data research
2. Recommendations from the Science Council of Japan
- Background of Recommendations:
- Need to improve the reliability of government statistics
- Expectations for effective use of administrative data
- Response to international trends
- Main Recommendations:
- Improving access to administrative data
- Development of research infrastructure
- Balancing privacy protection with research use
- Policy Impact: Creating momentum for EBPM promotion
3. Status of Joint Research Activities Using Tax Data
- Building Research Framework:
- Collaboration between Policy Research Institute and National Tax College
- Joint research projects with university researchers
- Creating mechanisms for data access
- Achievements to Date:
- Implementation of pilot studies
- Establishment of methodologies
- Development of research ethics guidelines
- International Collaboration: Case studies and knowledge sharing with advanced countries
4. Introduction to Papers on Tax Data Utilization in This Special Issue
- Overview of Included Papers:
- Research on inequality and redistribution using income tax data
- Corporate dynamics analysis using corporate tax data
- Comprehensive analysis of tax return data
- Research Characteristics:
- Japan's first full-scale tax microdata analysis
- Integration of theory and empirical research
- Direct contribution to policy evaluation
- Methodological Innovation: Application of big data analysis techniques
5. International Comparison of Tax Data Research
- Situation in Advanced Countries:
- Nordic countries: Most advanced data access systems
- United States: Rich IRS statistical data
- United Kingdom: Operation of HMRC Datalab
- Japan's Position:
- Rapid catch-up despite being a latecomer
- Unique institutional innovations
- Best Practices: Selective adoption of excellent examples from various countries
6. Challenges in Utilizing Tax Data in Japan
- Institutional Challenges:
- Coordination with confidentiality obligations for tax information
- Clarification of data access rules
- Strict review of research purposes
- Technical Challenges:
- Advancement of anonymization technology
- Construction of secure analysis environments
- Standardization and systematization of data
- Human Resource Development: Training specialists in tax data analysis
7. Future Research Prospects
- Short-term Prospects:
- Expansion of researcher community
- Refinement of analytical methods
- Full-scale policy evaluation research
- Medium to Long-term Prospects:
- Collaboration with other administrative data
- Promotion of international comparative research
- Development toward real-time analysis
- Expected Outcomes:
- Providing scientific evidence for tax reform
- Empirical verification of economic theories
- Development of new policy tools
8. In Conclusion
- Significance of This Special Issue: A landmark achievement in Japan's tax data research
- Future Expectations: Continuous improvement and development of research environment
- Social Responsibility: Social return of research results and accountability
- International Contribution: International sharing of Japan's experience
This preface provides a comprehensive overview of the current state of economic analysis using tax data in Japan and indicates future development directions, making it essential reading for researchers in this field.