Song Young-gil: "Moon's Real Estate Policy Should Change What Was Wrong... Postponing Heavy Capital Gains Tax on Multiple Homeowners Is 'Rational'"

"Reflecting on and reconsidering Moon administration's real estate policy to bring change"
"One-year delay in heavy capital gains tax on multi-homeowners is very reasonable... Will form a special committee to narrow differences"

[Asia Economy Reporter Oh Ju-yeon] Song Young-gil, leader of the Democratic Party of Korea, said on the 21st regarding the conflict with the Blue House over the postponement of the capital gains tax surcharge, "President Moon Jae-in also acknowledged the failure of the real estate policy," adding, "I think we need to reflect on our mistakes and make changes."

[Image source=Yonhap News]

On the same day, after the 'Team Fairness Voice' party admission ceremony and the party leader meeting, Song told reporters, "The Democratic Party and candidate Lee Jae-myung are trying to change through reflection and reconsideration of the Moon administration's real estate policy."

Song pointed out, "The Moon administration's 24 regulations-centered real estate policies lacked proper supply measures and financial measures, so even if supply was provided, actual housing opportunities did not reach young people and newlyweds," adding, "We cannot maintain such policies as they are."

Song said, "The 6·3·3 method proposed by candidate Lee to postpone the capital gains tax surcharge on multi-homeowners for one year is very reasonable," and added, "We will form a special committee with members holding both pros and cons through a party meeting to narrow differences on this bill."

Earlier, candidate Lee mentioned the 6·3·3 method regarding easing the capital gains tax burden on multi-homeowners: a 100% exemption if the house is sold within 6 months, 50% exemption if completed within 9 months (3 months later), 25% exemption if within 12 months (another 3 months later), and maintaining the surcharge as planned after one year.

He also said that the comprehensive real estate holding tax (종합부동산세, Jonghap Budongsanse) cannot be called unearned income.

Song emphasized, "A single homeowner does not make money by selling it; they live in it," and said, "It is not right to criticize it as unearned income."

He added, "Even for owners of two or three houses, there are periods when they inevitably become multi-homeowners due to inheritance, sudden gifts, moving, or temporary redevelopment and reconstruction, and consideration for such periods is necessary," adding, "The comprehensive real estate tax should not be punitive. Taxes need to be politically and value-neutral."

Regarding the criticism that it could become a populist policy, he said, "If there are public demands or deficiencies in the actual implementation process, it is natural to supplement them," adding, "Some details such as the official land price issue and comprehensive real estate tax supplements are like that. We need to view them flexibly."

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