Gyeonggi-do to Seize Assets of 29,298 Workers with Local Tax Arrears
Gyeonggi Province plans to pursue wage garnishment for 29,298 workers with unpaid local taxes.
As of the end of July, Gyeonggi Province obtained a list of 29,298 individuals who are local tax delinquents with earned income through the Korea National Health Insurance Corporation's earned income data.
The wages subject to garnishment are amounts exceeding 1.85 million KRW, with amounts up to 3.7 million KRW garnished after deducting 1.85 million KRW, and 50% of monthly wages for amounts up to 6 million KRW.
In May, Gyeonggi Province also identified 75 high-income local tax delinquents with unpaid taxes exceeding 100 million KRW and pursued garnishment.
Considering that wage garnishment notifies the delinquent taxpayer’s workplace of the unpaid taxes, which may further hinder their economic activities, Gyeonggi Province plans to approach actual garnishment with caution.
Therefore, starting in August, notices of impending wage garnishment will be sent, and explanations and payment plans regarding the delinquency will be heard until October. For those who do not receive the wage garnishment notice, sufficient opportunities to explain before garnishment will be provided through registered mail, regular mail, text messages, and phone calls.
However, for high-income delinquents with annual incomes exceeding 100 million KRW, stricter criteria for wage garnishment will be applied, considering them as negligent taxpayers.
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Ryu Young-woong, Director of the Tax Justice Division of Gyeonggi Province, stated, "Considering tax fairness with diligent taxpayers, we plan to proceed with garnishment of earned income for taxpayers who have unpaid local taxes. If they show a sincere willingness to pay within the given conditions, we plan to allow sufficient time."
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