"Proposals to Completely Revise Tax Reform"… Sweating to Soothe Public Sentiment

[Anchor]

As backlash grows against real estate policies, including the government's tax reform package, the Democratic Party gathered with government officials today (August 12) to conduct a review. They called for bold and rapid housing supply, and conveyed the concerns of the younger generation to the government in an effort to soothe public sentiment regarding real estate. Among the leadership candidates, a proposal even emerged to completely overhaul the tax reform plan.

Reporter Ha Jeongyeon has the details.

[Reporter]

The Democratic Party's Housing Market Stabilization TF held its first meeting to review overall real estate policies, including housing supply, taxation, and finance.

Government officials also attended, including Financial Services Commission Chairman Lee Eok-won, along with vice ministers from the Ministry of Finance and Economy and the Ministry of Land, Infrastructure and Transport.

With the government scheduled to announce housing supply measures and comprehensive financial packages tomorrow, the Democratic Party emphasized a "speed battle in supply"—such as revitalizing modular construction methods—pointing out that bottlenecks in housing supply continue in areas like Seoul and anxiety in the jeonse and monthly rent markets is growing.

[Han Jeong-ae / Policy Committee Chair, Democratic Party: (We need) institutional improvements to increase the supply of non-apartment housing that can be supplied within a short period, such as urban lifestyle housing or officetels, and a bold acceleration of supply speed through the introduction of modular methods.]

During the subsequent closed-door meeting, opinions were reportedly raised to specify the actual construction start dates for housing supply.

One attendee conveyed, "There were demands to increase market trust by making measures concrete instead of vague supply policies—such as how much earlier construction start dates can be brought forward, and how many households will receive what benefits from financial support."

Regarding the tax reform plan, the Democratic Party repeatedly conveyed concerns to the government side that deep consideration must be given to market realities, such as the circumstances of "non-resident single-home owners" who inevitably cannot live in their homes, as well as the housing anxiety of the younger generation.

[Kim Young-bae / Member, Democratic Party: We have delivered all the various voices expressing concern regarding taxation, including the case of non-resident single homes, and especially the voices of young people.]

There were also proposals to expand "first-time homebuyer loans" for the younger generation and genuine homebuyers, and to drastically increase the National Housing and Urban Fund for low-interest jeonse loans.

Meanwhile, Song Young-gil, a candidate running for the Democratic Party leadership, pointed to real estate policies as the cause of the decline in President Lee Jae-myung's approval rating and conveyed public sentiment opposing the tax reform plan.

[Song Young-gil / Democratic Party Leadership Candidate (KBS Radio 'Jeon-geuk Sisa'): Real estate, the general argument is not to touch these taxes.]

The Democratic Party decided to hold a general meeting of lawmakers tomorrow to gather a consensus on the real estate tax reform plan and housing supply measures.

(Video Input: Oh Young-chun, Kim Yong-woo | Video Editing: Nam Il | Design: Lee Ga-jin)
※ Please note: This article was translated by AI and may contain errors.