Apartment ownership tax bomb, fill up the hole in the toilet

The public sentiment was ugly due to the speculation of the employees of the Korea Land and Housing Corporation (LH), but the disclosure was even shocked. Public prices for apartments and apartments nationwide have skyrocketed. This year’s public price is expected to rise sharply compared to last year, which will greatly increase the burden of property tax in Daegu as well as the metropolitan area. In the case of Sejong City, the fact that the official price soared more than 70% from last year is due to the severe overheating of house prices, but it is inevitable that Daegu has increased by 13.14%. According to an announcement by the Ministry of Land, Infrastructure and Transport on the 15th, the official price of apartment houses nationwide this year is expected to increase by 19.08% compared to last year. This is the highest in 14 years since 22.7% in 2007, when it was the participatory government. By region, Sejong City surged 70.68%, the highest in the country. Seoul is up 19.91%. Nowon-gu, the only city in Seoul, soared more than 30%. It is the impact of house prices, which soared to the ceiling last year.

The problem is that the burden on the holding tax is also greatly increased due to the soaring public price. If you buy and sell for speculation, even if you hold it for 10 years and 20 years, your property tax will increase significantly. You mean, don’t own a house at all and live on a monthly rent basis. First, it is said that the number of persons subject to the taxation tax exceeding 900 million won will increase by 41% from 663,000 last year to 938,000 this year. The government said that the soaring public price was due to the increase in house prices. In Daegu, 9,106 households with a public price exceeding 900 million won, subject to the comprehensive real estate tax imposition for one household, one house, are 9,106 households.

Public opinion is boiling out of control as the tax bomb, which has been intermittently talked about, finally becomes a reality. Ahead of the 4·7 rehabilitation and the next presidential election, emergency funds for ticket fishing were sprinkled, and a voice called Nolbu Simbo who said he would fill the holed tax revenue with real estate ownership tax. It was the government that raised the price of the house anyway, but in order to avoid the tax bomb, it became a situation where it was necessary to sell the house and change to the previous or monthly rent. Therefore, there is also an article saying, “I will compensate LH employees by removing taxes”.

The national average of 19.08% for apartment houses increased, which greatly increased the burden on the common people. This is because it is the basis for calculating about 60 various charges such as property tax, comprehensive real estate tax, and health insurance premiums. The coronavirus outbreak has resulted in an extreme contraction of households and fueling public sentiment amidst the failure of real estate policies. It was only a month ago that the analysis that Korea’s’real estate tax’ is the third largest member of the Organization for Economic Cooperation and Development (OECD).

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