Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki presides over the real estate market inspection-related ministerial meeting. Provided by the Ministry of Strategy and Finance.
Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki said on the 30th, “We are considering a plan to provide additional housing to the site that appears as public institutions in Seoul and the metropolitan area are relocated to other places.”
Deputy Prime Minister Hong met with reporters in the press room of the Ministry of Finance at the Sejong Government Complex Sejong on the same day and said, “Today, we discussed in various ways whether we can secure additional housing sites at the real estate market inspection-related ministerial meeting.” Deputy Prime Minister Hong said, “It is not easy to secure a land for a private new housing supply in Seoul.
It is interpreted to mean that the remaining public institutions in the metropolitan area will be relocated to the provinces and then the site will be used for housing supply. Recently, the relocation of Daejeon Innovation City, such as the Korea Meteorological Administration, was confirmed.
Deputy Prime Minister Hong also announced that he would “promote the introduction of a tax deferral system” in relation to the comprehensive real estate tax, which is being recently reorganized. The deferred taxation system is a system that defers the tax payment until the time of ownership change for the elderly who do not have income and cannot pay the tax.
According to the government’s tax reform plan, which was unveiled by the Democratic Party’s real estate special committee earlier, if the actual resident aged 60 or older among single-family homeowners has an annual income of 30 million won or less, the tax payment can be deferred until there is a change in hands due to transfer, gift, or inheritance. However, in this case, 1.2% statutory interest is added. However, Deputy Prime Minister Hong said that the government’s proposals such as maintaining the fair market value ratio of 90% or increasing the deduction amount under the joint name of a married couple “are not likely to be pursued.”
Regarding the plan to impose the tax on the top 2%, he said, “When this happens, we have fully conveyed to the party the opinion that the most problematic thing is whether or not someone is subject to the taxation depending on the change in other people’s house prices.” We are discussing follow-up measures with the party as long as it has been decided,” he said.
Regarding the claim that the ‘2% taxation plan is against the principle of tax law’, he said, “When I looked for other tax laws, there were cases where the law provided standards in 7 to 8 types and the amount was determined by the enforcement decree.” I decided that there would be no major problems if the standards were clearly defined.”
By Kang Jin-gyu, staff reporter [email protected]
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