Kim Yong-beom, Deputy Minister of Economy and Finance, "Will Modernize the Taxation System on Financial Investment Income"

by Ju Sangdon

Published 06 May.2020 15:34(KST)

Ministry of Economy and Finance Holds 1st Meeting of the Mid- to Long-Term Tax Policy Deliberation Committee

Kim Yong-beom, 1st Vice Minister of Strategy and Finance. (File photo) [Image source=Yonhap News]

[Asia Economy, Reporter Joo Sang-don] On the 6th, Kim Yong-beom, 1st Vice Minister of the Ministry of Economy and Finance, stated, "We plan to modernize the taxation system on financial investment income by comprehensively expanding the scope of taxation on financial products and allowing loss offsetting and carryforward deductions."

That afternoon, Vice Minister Kim presided over the first meeting of the 'Mid- to Long-Term Tax Policy Deliberation Committee' at the Korea Chamber of Commerce and Industry, and made these remarks in his opening address.

He continued, "The mid- to long-term tax policy operation plan to be established this year should serve as a guide for tax policy directions preparing for the 'post-COVID-19 era.' In a situation where changes in the tax base structure are expected due to the expansion of non-face-to-face industries and the reorganization of the Global Value Chain (GVC), we must turn the post-COVID industrial restructuring into an opportunity for a leap forward through carefully designed tax incentives," he emphasized.

The Ministry of Economy and Finance establishes a mid- to long-term tax policy operation plan every year, which includes the basic directions and goals of tax policy for the next five years to ensure efficient tax policy formulation and enhance fairness in tax burden. For this purpose, the committee’s operational plan for establishing this year’s 'Mid- to Long-Term Tax Policy Operation Plan' was discussed at this meeting.

The mid- to long-term tax policy operation plan, formulated through consultation and deliberation by the Mid- to Long-Term Tax Policy Deliberation Committee, is scheduled to be submitted to the National Assembly along with the National Fiscal Management Plan by September 3 of this year.