Jeong Il-young Proposes Comprehensive Real Estate Tax Relief Bill for Single-Homeowners... Party and Government Say "No Review"

Jeong Il-young, Member of the Democratic Party of Korea

[Asia Economy Reporter Park Cheol-eung] Jeong Il-young, a member of the Democratic Party of Korea, has proposed a bill to reduce the comprehensive real estate holding tax (종부세) burden for single-homeowners who actually reside in their homes. Although the Democratic Party leadership has firmly stated that there are no plans to reduce the 종부세, it appears to be pursued at the individual lawmaker level.

On the 20th, Representative Jeong announced that he had proposed a revision to reduce the 종부세 for long-term residents with a tax base of 300 million KRW (approximately 1.2 billion KRW in standard market price) or less on a single home.

The current law limits the total 종부세 deduction rate to a maximum of 80%, but Jeong’s proposal allows up to 90% for tax bases of 300 million KRW or less.

Additionally, he suggested raising the deduction rates for ages 60?65 from 20% to 30%, 65?70 from 30% to 40%, and over 70 from 40% to 50%, increasing each by 10 percentage points. The bill also includes a new 10% deduction rate for residents living in their home for 2 to 5 years.

The bill contains a provision that if a single homeowner aged 60 or older meets the condition of having a tax base of 300 million KRW or less, taxation can be deferred until the home is transferred, inherited, or gifted.

Han Jeong-ae, chair of the Democratic Party’s Policy Committee, stated at the National Assembly audit countermeasure meeting on the same day, “There have been media reports about expanding 종부세 reductions. The party and government have not reviewed or planned any such measures,” adding, “Currently, long-term single homeowners already receive 종부세 deductions up to 80%.”

Co-sponsors of Representative Jeong’s bill include fellow Democratic Party members Yang Ki-dae, Heo Jong-sik, Lee Seong-man, Lee Yong-bin, Moon Jin-seok, Kim Gyo-heung, Heo Young, Kim Su-heung, Yoon Hu-deok, Kim Nam-guk, and Min Hyeong-bae.

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