Songpa-gu Imposes 203.6 Billion KRW in Property Tax for July

Songpa-gu Sees 93.3 Billion KRW Decrease in July Regular Property Tax... Largest Drop in Seoul

Songpa-gu Imposes 203.6 Billion KRW in July Property Tax... Average 26.5% Reduction Compared to Last Year

Relief of Property Tax Burden for Single-Homeowners, Most Notable Achievement in Songpa

Songpa-gu Actively Prepares for Local Tax Revenue Decline through Supplementary Budget in Second Half

Songpa-gu (Mayor Seo Gang-seok) imposed 203.6 billion KRW in regular property tax for July 2023. This amount is 93.3 billion KRW less than the previous year, marking the largest decrease among Seoul’s 25 autonomous districts.

Property tax is a key local tax revenue source for local governments. It is levied annually on June 1st based on ownership of land, houses, buildings, ships, and aircraft. Property tax on houses is split and taxed 50% each in July and September, while property tax on land is levied in September. If the tax amount is 100,000 KRW or less, the full amount is billed in July.

This year’s property tax in Songpa-gu decreased by 26.5% compared to last year. This was mainly due to the decline in official prices of apartment complexes and the Ministry of the Interior and Safety’s reduction of the fair market value ratio for single-homeowners.

In fact, the decline rate of the official price of apartment complexes, which serves as the tax base, was -23.2% in Songpa-gu, larger than the Seoul average of -17.2%, and it showed the largest change among Seoul’s districts.

Additionally, this year, the fair market value ratio for single-homeowners was temporarily lowered from the current 45% to 43-45% for houses valued at 600 million KRW or less. For single-homeowners with houses valued at 900 million KRW or less, a special tax rate reduction of 0.05% per tax bracket was applied, unchanged from the previous year.

Songpa-gu analyzed that the region’s characteristic of having many apartment complexes positively contributed to this property tax reduction, making the relief of the property tax burden for single-homeowners the most notable achievement within Seoul.

Meanwhile, Songpa-gu actively prepared for the local tax revenue shortfall caused by the property tax decrease by implementing a supplementary budget in the second half of the year to ensure that key projects for residents proceed smoothly.

The July regular property tax can be paid at all banks nationwide. Additionally, it can be conveniently paid through various methods such as automatic transfer, virtual account transfer, STAX (smartphone app), ETAX system, ARS, and simple payment services.

Seo Gang-seok, Mayor of Songpa-gu, stated, “I am pleased that the property tax burden on residents has been eased during these difficult times,” and added, “We will not waste a single penny of the precious taxes paid, and will use them to improve residents’ quality of life and for projects that consider future generations, ensuring efficient administration.”

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