President Moon's Cabinet Meeting Reviews and Approves Promulgation of Laws Including the Venture Investment Promotion Act

Integration of Dispersed Venture Investment Laws... Deliberation and Resolution of the Amendment to the Enforcement Decree of the Restriction of Special Taxation Act

[Asia Economy Reporter Ryu Jeong-min] On the morning of the 4th, President Moon Jae-in presided over a Cabinet meeting at the Blue House main building and deliberated and resolved the 'Promulgation of the Act on the Promotion of Venture Investment' and other matters.

Han Jeong-woo, deputy spokesperson of the Blue House, explained, "46 bills for promulgation, 22 presidential decree drafts including partial amendments to the Enforcement Decree of the Restriction of Special Taxation Act, etc., were deliberated and resolved."

At the Cabinet meeting that day, 46 bills passed by the National Assembly in January this year and sent to the government were decided to be promulgated in accordance with Article 53 of the Constitution. In particular, the promulgation of the Act on the Promotion of Venture Investment is a new law concerning investment in venture companies. Matters related to venture investment, which had been dispersed in the Special Measures for the Promotion of Venture Businesses Act and the Small and Medium Enterprise Startup Support Act, have been integrated into this law.

[Image source=Yonhap News]

Deputy Spokesperson Han said, "Until now, the venture investment system was dispersed across several laws, making it difficult to understand easily and systematically, and it was difficult to respond flexibly to changes in the venture investment market environment," adding, "It is expected that a foundation will be established to activate investment in startups, small and medium enterprises, and venture companies, enabling systematic fostering of venture companies."

At the Cabinet meeting that day, 20 presidential decree drafts, including partial amendments to the Enforcement Decree of the Restriction of Special Taxation Act as follow-up measures to the revision of the parent law concerning tax reform, were also deliberated and resolved.

Five drafts including partial amendments to the Enforcement Decree of the Restriction of Special Taxation Act to support economic vitality recovery and innovative growth, five drafts including partial amendments to the Enforcement Decree of the Income Tax Act to strengthen inclusiveness and fairness in the economy and society, and ten drafts including partial amendments to the Enforcement Decree of the Framework Act on National Taxes for rationalizing the tax system and expanding the revenue base were passed. Following the amendment of the Enforcement Decree of the Restriction of Special Taxation Act, the tax credit for research and development expenses was expanded to include research and development expenses in the advanced materials, parts, and equipment sectors.

Meanwhile, the partial amendment to the Enforcement Decree of the Act on the Development of Sustainable Transport and Logistics, proposed by Seoul City, was also passed. It includes reducing the fine for violating vehicle operation restrictions from 500,000 won to 200,000 won.

Deputy Spokesperson Han explained, "There was an issue of fairness as a fine of 500,000 won was imposed for violations of operation restrictions under the Act on the Development of Sustainable Transport and Logistics, while a fine of 100,000 won was imposed for violations under the Fine Dust Act," adding, "On December 3rd last year, Seoul City proposed at the Cabinet meeting that fines should be imposed fairly."

This content was produced with the assistance of AI translation services.