[2020 Comprehensive Real Estate Tax] 744,000 Notices Issued... 149,000 Increase in One Year

Record High Tax Revenue of 4.2687 Trillion Won... Up 27.5% YoY

[Asia Economy Reporter Kwangho Lee] This year, the number of comprehensive real estate tax (종합부동산세) taxpayers was 744,000, with a total tax amount of 4.2687 trillion KRW. Compared to the previous year's notice, the number of taxpayers increased by 149,000 (25.0%), and the tax amount increased by 921.6 billion KRW (27.5%).

On the 25th, the National Tax Service announced that tax bills and payment guidance documents were sent to the 2020 comprehensive real estate tax taxpayers.

Considering that the final tax amount usually decreases by about 10% from the notice due to applications for exclusion from aggregation after the tax notice (based on 2019), the final tax amount for this year is expected to be about 3.8 trillion KRW.

The comprehensive real estate tax is a tax aimed at fairness in tax burden on real estate holdings and balanced development of local finances. All revenue from this tax is transferred to local governments as real estate allocation tax and used as local government resources.

The notified comprehensive real estate tax must be paid by the 15th of next month. If the tax amount to be paid exceeds 2.5 million KRW, it is possible to pay in installments for up to six months without additional interest charges.

Installment payers should pay the amount after deducting the installment application amount (to be paid by June 15, 2021) from the total notified tax amount after applying for installment payment. Those not eligible for installments should pay the full amount stated on the tax bill.

Additionally, the National Tax Service is actively providing tax administration support such as collection deferral and extension of payment deadlines for taxpayers facing difficulties due to the spread of COVID-19.

If the comprehensive real estate tax notice is incorrect or if taxpayers wish to file a declaration, they can voluntarily report and pay by the payment deadline regardless of the tax notice.

When filing through the National Tax Service's Hometax system, various assistance materials such as taxable property inquiry and pre-fill services are provided for easy filing.

Meanwhile, to address public inquiries about changes in holding tax (property tax + comprehensive real estate tax) burdens, the simplified tax calculation program for comprehensive real estate tax has been improved and posted on Hometax to allow simplified tax calculations up to future tax years.

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