The chief of a Liberal Democratic Party tax panel said Monday the group will explore changes that will lead to a tax system more in tune with the country's increasingly digitized economy.

Akira Amari, head of the LDP Research Commission on the Tax System, said the panel will not only examine requests filed by government bodies, but also lead discussions to modify the tax system ahead of the launch later this month of a full-fledged tax policy review.

"(The party's tax panel) can play a role in leading the taxation system in a desirable direction," Amari said in a speech at a meeting hosted by Kyodo News in Tokyo.