Assemblyman Lee Hyung-seok Proposes Partial Amendment to the Corporate Tax Act

Eradication of Private Misuse by Relatives in Purchasing High-End Corporate Cars

[Asia Economy Honam Reporting Headquarters Reporter Yoon Jamin] Lee Hyung-seok, a member of the National Assembly (Democratic Party of Korea·Gwangju Buk-gu Eul), announced on the 9th that he has taken the lead in proposing the "Partial Amendment to the Corporate Tax Act."

The "Partial Amendment to the Corporate Tax Act" includes provisions to strengthen the documentation requirements that corporations must submit when processing expenses related to company vehicles as company expenditures (deductible expenses), and to allow tax authorities to inspect the actual operation status of company vehicles.

The main contents are ▲mandatory submission of related expense statements, documents related to business-only driver insurance, operation records, and proof of attachment of identification marks on company passenger cars ▲inspection of the operation status of company passenger cars by the tax office chief in charge of the taxpayer's jurisdiction if necessary.

Assemblyman Lee said, "Cases of abusing company cars for private use while receiving corporate tax reduction benefits have been repeated, creating a sense of unfairness among many sincere taxpayers," and added, "Through the amendment of the law, we will eradicate the practice of private use of high-priced corporate cars such as Lamborghini by the family of the company owner."

Meanwhile, 14 lawmakers including Ahn Kyu-baek, Park Jung, Min Hyung-bae, Maeng Seong-gyu, Kang Byung-won, Kim Sung-joo, Moon Jin-seok, Jeong Il-young, Ko Yong-jin, Yang Ki-dae, Jeong Pil-mo, Kim Kyung-hyeop, Kim Jong-min, and Yoon Hu-duk participated as co-sponsors of this partial amendment to the Corporate Tax Act.

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