Gov��t Income From Real Estate Taxes Soars

Collected existent estate taxations have got topped W100 trillion (US$1=W942) in the four old age since the authorities took business office in 2003. That is far more than than the W76 trillion collected in place taxations during the five-year government of president Kim Dae-jung. Analysts state the revenue enhancement addition is attributable to the introduction of stronger taxation standards, although a rush in existent estate terms played a partial role.

According to a Finance Ministry study sent to Thousand National Party lawmaker Choi Kyung-hwan on Sunday, existent estate-related taxes, both state and provincial taxes, soared 67 percentage from W19.4 trillion in 2002 to W32.4 trillion in 2006. After the introduction in late 2004 of the comprehensive existent estate tax, the government��s income from the taxations on existent estate tripled from W400 billion in 2005 to W1.3 trillion in 2006. The authorities estimations the comprehensive existent estate revenue enhancement at W2.88 trillion this twelvemonth owed to a growing in existent estate terms and tighter taxation standards, which also increased place taxations from W800 billion in 2002 to W3.1 trillion last year.

Taxes on net income from existent estate minutes also more than than tripled from W2.5 trillion in 2002 to W7.9 trillion last year, as the authorities necessitates Sellers to pay taxations on their net income based on the higher marketplace terms rather than functionary authorities prices. Choi said the rush in is ��good cogent evidence that the people have got been bombed with taxations since the launch of the current government, which claims that it have worked to cut down taxations for middle-class and ordinary people.��

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