“비거주 요건 완화해야”…전문가들 세제개편안 보완 주문

Experts have advised that the proposed tax reform package for expensive and vacant homes requires improvements. The Korean Tax Policy Research Institute held a policy discussion on the 2026 tax reform package on the 13th at the Bank of Korea headquarters in Seoul's Jung-gu. The government announced the tax reform package last Wednesday and will submit the final version to the National Assembly in early next month.

At the discussion, some argued that the criteria for expensive homes should be raised. Professor Ouwuk-jin from Kyunghee University (Economics) said, "Apart from raising the basic deduction from 12 billion won to 14 billion won in the tax reform package, everything is a revenue-raising factor." He suggested increasing the basic deduction for primary residence owners from 14 billion won to 17 billion won in the government's proposal, while keeping the current 12 billion won for vacant owners.

He also proposed relaxing the "1-year or more residence" requirement for vacant owners. Professor Kwung Il-gyu from Seoul National University's Graduate School of Law said, "We should either eliminate the 1-year residence requirement for vacant periods or reduce it as much as possible, considering the high frequency of relocations among Koreans."

Experts also called for improving the 'special deduction for long-term possession' (Jong-tteok-gong) and setting a 10 billion won limit on the deduction amount. They argued that the criteria for preserving the nominal value increase for long-term owners should be preserved, with 20% for 80% residence and 60% for 60% residence. They also suggested raising the 10 billion won limit for the 'special deduction for long-term possession.'

The concern about the real estate market's vulnerability to high prices was raised. Professor Gung Seong-hun from Hongik University (Political Science) said, "The concern about the deleterious effect on the rental market due to tax reform may materialize, along with the demand shift towards cheaper housing." In response, Kim Byung-chul, a senior official at the Ministry of Finance's Tax Policy Department, said, "While there are concerns about the tax reform adversely affecting the rental market, we are working on a comprehensive approach including raising the deduction limits for income tax and expanding housing supply."