Office of the President: "Special Long-Term Deduction Under Government Review... No Decision Yet"

The Office of the President stated on April 24 that while the government is currently discussing the special long-term holding deduction (Jangtuk Deduction) for non-resident single-homeowners mentioned by President Lee Jaemyung, no decisions have been made yet.

An official from the presidential office told reporters that afternoon, "President Lee's remarks were meant to emphasize, as a matter of principle, that even for single-home households, it is important to distinguish between investment and residential purposes."

Earlier that day, President Lee wrote on his X account (formerly Twitter), "To properly protect the residences of single-homeowners, it is only right to reduce the tax deduction for non-residential holding periods while increasing it for periods of actual residence."

He also shared an article highlighting market confusion caused by the debate over the possible abolition of the Jangtuk Deduction, criticizing, "Reducing capital gains tax simply because someone has held an investment property for a long time—especially for high-priced homes—without actually living in it is not a housing protection policy, but rather a policy that encourages real estate speculation."

In relation to this, a senior official from the presidential office explained, "Basically, President Lee's comments are aimed at protecting single-home households as much as possible, and at promoting increased supply for everyone else. Various scenarios are being prepared regarding specific policies and issues."

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