Jokuk Criticizes 'U-Turn' on Jongbu Tax: "Democratic Party and Government Back Down in Face of Top 1% Opposition"

Jokuk: "Driven by Fear of the General Election"

Guk Cho, Director of the Innovation Policy Institute at the Guk Innovation Party, criticized the government's retraction of the plan to reduce the basic deduction for comprehensive real estate tax for non-resident single-home owners on the 2nd, stating, "What the Democratic Party and the government have protected is the interests of the top 1%."

Guk Cho, Director of the Innovation Policy Institute at the Guk Innovation Party. Photo by Hyun-Min Kim

On this day, Director Cho wrote on social media, "In the end, it only took 29 days after the government announced its tax reform plan for it to accept the Democratic Party's political demands," conveying his criticism.

Previously, the government decided at a cabinet meeting on the 1st to maintain the comprehensive real estate tax basic deduction for non-resident single-home owners at the current 1.2 billion won, rather than lowering it to 900 million won as initially proposed. The plan to raise the tax burden cap to 200% was also withdrawn, keeping it at the current 150%. For resident single-home owners, the basic deduction will be increased from 1.2 billion won to 1.4 billion won as originally planned.

Director Cho argued that with the government's revised plan, "Instead of strengthening taxation on non-resident single-home owners, the scope of those subject to the comprehensive real estate tax has simply been reduced."

He continued, "This U-turn was made out of fear that there could be negative effects on the 2028 general elections, leading to the abandonment of the principles of taxation," adding, "I hope the government and the Democratic Party will at least stay true to the interests of the citizens who gave them their votes in the recent general and presidential elections."

Director Cho also reiterated his criticism of the government and ruling party's changes to tax policy, asking, "Do you think affluent non-resident single-home owners will be grateful for this retreat and support the government and the Democratic Party?"

Director Cho had previously criticized the Democratic Party's move to ease the comprehensive real estate tax on August 25, calling it "politics for the 1%" and stating, "The Democratic Party should not pursue tax cuts for the wealthy."

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