[My Work] Discussion to Begin on Increasing Tax-Exempt Limit for 'Company Cafeteria Subsidies' [Tax Reform / HR Work]

The Ministry of Economy, Trade and Industry has requested an increase in the tax-exempt limit for meal subsidies per employee in the fiscal year 2026 tax reform.

I read this news.

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Meal Allowance

With government policies such as the call for the abolition of 'dependency allowances' moving toward 'eliminating various allowances that create disparities in salary based on individual employee characteristics,' this is a salary item that has become less common recently. However, with the chronic labor shortage, it is an allowance that is gaining renewed attention.

This is because,

it is a welfare benefit for employees,

and furthermore,

it offers many benefits for company operations.

It is an allowance that provides these advantages.

The other day, during a casual conversation while visiting a client (a construction company), I heard that

younger people and those who are unmarried often do not eat breakfast.

I think this is problematic, especially for employees in the construction industry where 'the body is your capital.'

Working on an empty stomach not only lowers work efficiency but also increases the probability of industrial accidents.

Working on an empty stomach not only lowers work efficiency but also increases the probability of industrial accidents.

Also, even if they are not hungry, I heard that many people have a lunch menu consisting of, for example, 'a rice ball and cup noodles.'

No matter how state-of-the-art the equipment may be, it will not function without energy such as electricity.

This also applies to humans; if we do not have proper meals (energy intake), various malfunctions will occur.

This is true not only for the construction industry but for many other industries as well.

Therefore, how to explain the necessity of meals to employees and how to actually get them to eat is beginning to receive renewed attention in company management.

Furthermore, companies that provide generous support for meals also meet the criteria for employees to take an interest in the company and apply for job openings, so you should not think lightly of it as "just one allowance within the salary."

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However, under the current tax system,

the company's contribution is tax-exempt if the meal subsidy from the company is 3,500 yen or less per month and the employee pays at least half of the meal cost

which means that companies do not feel much benefit because the tax-exempt amount is quite small.

According to the news,

so it is highly likely that the amount will be reviewed, but if the limit is raised toaround 10,000 yen per monthit will become something that companies will consider.

However, if taxes are increased in other areas affecting employees, it would be completely meaningless, so it is necessary to check the overall measures regarding "increasing sales for small and medium-sized enterprises" and "increasing employees' take-home pay."

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