The legislation obligates the Japanese government to draw up a basic implementation plan to promote understanding of LGBT people, and to protect them from "unfair discrimination."

[9] The legislation was introduced and passed amidst domestic and international pressure, primarily from the United States through U.S. ambassador to Japan Rahm Emanuel.

[10][11] Previous attempts to enact an anti-discrimination legislation was blocked due to the strong influence of conservative factions lobbied by religious organizations such as the Unification Church and the Association of Shinto Shrines within the Liberal Democratic Party (LDP).

[14][15] In April 2021, the LDP announced it would pass the LGBT Understanding and Enhancement Bill during the 204th National Diet session, set to end in June for the 2020 Summer Olympics and Paralympics in Tokyo.

[19] Revisions were made in consultation with conservative factions of the LDP, Nippon Ishin no Kai and the Democratic Party for the People, which severely watered-down the bill.

[35][36] The House of Representatives Cabinet Committee on the same day approved the LDP-Komeito-JIP-DPFP revision after a majority vote[36] while the original bill was rejected.

Takatori stated that the reason for leaving the chamber was that he had a stomach ache, and denied rumors that he left in opposition to the bill but later admitted that he had concerns over the contents of the legislation.

[46][47][48][49][50] (Original bill) Gender Identity Gender Identity Gender Identity Several high-profile LDP lawmakers such as Minister of Economy, Trade and Industry Yasutoshi Nishimura, Secretary-General of the LDP in the House of Councillors Hiroshige Seko, and Seiko Hashimoto formed a new Diet group following the passage of the bill named Parliamentary League for Protecting the Safety and Security of All Women and Ensuring Fairness in Women's Sports (全ての女性の安心・安全と女子スポーツの公平性等を守る議員連盟) to secure "the 'right to life' of women by establishing a system that protects their safety and security.

[53] Akiko Santo, member and former president of the House of Councillors who left the chamber before voting began, cited possibilities of "people pretending to be a woman entering women's restrooms and other women-only spaces."

Aoyama disagreed on replacement of the phrase 性同一性 (Seidōitsusei) with ジェンダーアイデンティティ (Jendāaidentiti) following the merging of the Government coalition and JIP-DPFP revisions, saying, "people have hardly ever used this word.

"[56] Katsuya Okada, secretary general of the CDP criticized the government coalition's revision, saying, "It is a major step backward from what was agreed upon in a bipartisan manner.

"[61] On 14 June, several LGBT rights activists protested in front of the National Diet Building against the passage of the legislation, citing that the government coalition's revision would "do nothing but promote further discrimination against sexual minorities.

RENGO also expressed its intention to push for the amendment of the law and the enactment of a separate legislation that clearly stipulates the prohibition of discrimination against sexual minorities.

Following the passage of the bill, Hyakuta, alongside journalist Kaori Arminoto founded the far-right Conservative Party of Japan on 1 September 2023.