Persons subject to taxation apply to the court for adjudication on the constitutionality of the law

Those who were levied of the comprehensive real estate tax (special property tax) in 2020 filed a request for a judicial review of the constitutionality of the law, saying, “The property tax law has the potential to be unconstitutional, such as infringing on the essential content of property rights.”

On the 22nd, 123 people, including Mo Kang, who were subject to last year’s taxation, filed an application to the Seoul Administrative Court for a review of the constitutionality of the provisions of the taxation law.

If the outcome of a trial differs depending on whether the law applied to the litigation is unconstitutional, the court may request the Constitutional Court to decide whether the relevant law is unconstitutional.

In the application, the representatives of Mr. Kang and others said, “The current taxpayer’s tax law has been expanded by lowering the standard for taxpayers from 600 million to 900 million won to 300 million to 600 million won (Article 7), and when calculating the tax base, the fair market The price ratio was set to reach 95% of the published price (Article 8),” he said, arguing that the provisions that significantly increased the subject and the amount of tax notified infringe on the essential content of property rights.

In addition, the clause (Article 9) that sets different tax rates and tax amounts based on the number of houses owned, houses in the area subject to adjustment, and six stages based on the published price, and sets different tax rates based on individuals and corporations and applies the excess progressive rate (Article 9) It is predicated on the assumption that it is considered real estate speculation according to the ownership of more than one house or the residential area.”

In addition, as for the provision (Article 10) that allows different types of property tax and comprehensive real estate tax, which are ownership taxes, to be imposed according to the number of houses in the previous year and whether or not they are in the area to be adjusted It is discriminatory without reasonable grounds to vary the upper limit of the tax burden.”

The representatives also added that it is against the principle of trust protection for the government to artificially raise the tax base and tax rate rapidly and not to make any transitional provisions and adjustment measures.

Previously, Mr. Kang and others filed a lawsuit in July this year against 24 tax offices in Seoul, including the Gangnam Tax Office, saying, “Cancel the 2020 comprehensive real estate tax imposition.”