About 90% of Corporate Tax Increase Over Past 5 Years Borne by Seoul Metropolitan Area Headquartered Firms

[Economy 365]

Approximately 90% of the increase in corporate tax over the past five years has been borne by corporations with headquarters in the Seoul metropolitan area, data showed.

Last year, the total tax burden of corporations nationwide stood at 72.1714 trillion KRW, an increase of 18.6 trillion KRW compared to 2020.

Among this increase, the share of corporations in the metropolitan area reached 16.6475 trillion KRW, accounting for 89.5%.

The corporate tax burden for metropolitan corporations increased by 41.7%, whereas non-metropolitan corporations saw a mere 14.3% increase.

Consequently, the proportion of corporate taxes shouldered by metropolitan-based firms rose from 74.6% in 2020 to 78.4% last year.

The concentration in Seoul became even more pronounced.

While corporations located in Seoul accounted for 29.1% of the total nationwide, the corporate tax they bore amounted to 38.1036 trillion KRW, representing 52.8% of the total.

*This article was produced with AI audio.
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