From Local and National Tax Refunds
to Credit Card Receivables and Wages
Stronger Seizures through Linked Tax Data

Goyang Special City in Gyeonggi Province (Mayor Lee Donghwan) is fully launching a delinquent tax collection system that utilizes local tax assessment data, and will begin a detailed trace of delinquent taxpayers' financial assets.

Exterior view of Goyang Teukrye-si City Hall. Provided by Goyang Teukrye-si.

Exterior view of Goyang Teukrye-si City Hall. Provided by Goyang Teukrye-si.

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On February 4, the city announced that it will enhance the effectiveness of delinquent tax collection by analyzing and linking not only visible assets such as real estate and vehicles, but also a wide range of financial and receivable-type assets, including national tax refunds, wages, and credit card accounts receivable.


This measure is based on the "Tax Data Regularization Manual" and is intended to strengthen the systematic nature of collection administration, as well as to institutionalize the identification of assets subject to seizure and the execution cycle, so that no collection opportunities are missed.


The city plans to proactively secure various receivables held by delinquent taxpayers based on local tax assessment data. The main targets are: national and local tax refunds and customs duty refunds; credit card accounts receivable; and salaries of employees.


In the past, there were cases where the city missed the timing for seizure of refunds that delinquent taxpayers failed to claim, or of daily credit card sales. However, through regular data analysis, the city plans to identify the point at which receivables arise and immediately proceed with seizure, thereby securing tax claims at an early stage.


The "wage seizure" procedure for delinquent taxpayers who are employees will become even more sophisticated. To minimize financial hardship or workplace disadvantages caused by indiscriminate seizure, the city will send a seizure notice by mail before executing the seizure.


In particular, taking into account cases where it is difficult to check mail, the city will also send Kakao notification messages to inform taxpayers of their delinquency and possible future disadvantages. If there is still no intention to pay, or if no valid reason is provided for non-seizure, the city will immediately carry out wage seizure under a "communicate first, act later" principle.


In addition, collection administration has been further upgraded. Tax officials will record in detail in the system the content of phone calls made during the process of encouraging payment, the history of sending seizure notices, and whether installment payment commitments have been fulfilled. Through this, the city expects to move beyond simple reminders to a systematic management of delinquencies based on each taxpayer's willingness to pay and payment history.



An official from Goyang Special City said, "Securing receivables by utilizing tax assessment data will serve as a strong warning to delinquent taxpayers who intentionally hide assets and evade their tax obligations," adding, "We will continue to advance data-based delinquent tax collection techniques to realize tax justice and make every effort to strengthen local finances."


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

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