Prime Minister Kim: "Difficult to Agree on Capital Gains Tax Surcharge Postponement... Those Who Sold Homes Trusting the Government Are Harmed"

Prime Minister Kim Boo-kyum / Photo by Hyunmin Kim kimhyun81@

[Sejong=Asia Economy Reporter Son Seon-hee] Prime Minister Kim Boo-kyum clearly opposed the claim made by Lee Jae-myung, the Democratic Party candidate, regarding the 'postponement of the capital gains tax surcharge on multi-homeowners,' stating on the 21st, "It is difficult for the government to agree because trust in government policy has declined." It appears that conflicts between the ruling party and the government are intensifying over real estate taxation.

In a CBS radio interview on the morning of the same day, Prime Minister Kim said, "The capital gains tax surcharge has already been postponed for one year," adding, "Those who trusted the government at that time and disposed of their homes will suffer losses again." He continued, "It is hard to accept that those who did not agree with government policy even during the already implemented postponement period would put their properties on the market just because a little more time is given."

Imposing relatively strong taxes on multi-homeowners is one of the core aspects of the Moon Jae-in administration's real estate policy. To encourage 'one household, one home,' the surcharge was implemented as scheduled after a certain postponement period for multi-homeowners.

Nevertheless, as candidate Lee repeatedly insisted on postponing the capital gains tax surcharge for multi-homeowners, Prime Minister Kim appears to have publicly reiterated the government's position. Candidate Lee also said, "If elected (in the presidential election), I will implement (the postponement of the surcharge on multi-homeowners)." Earlier, the Blue House also expressed opposition to the postponement plan for the surcharge on multi-homeowners.

However, regarding the ruling party and government’s consideration of applying this year’s publicly announced property prices to next year’s property tax calculation, Prime Minister Kim said, "I understand that there has been discussion about reducing the burden on actual demanders such as one-household-one-home owners," adding, "I think it is a discussion that can certainly be held to reduce the burden on the people during difficult times."

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