[Anchor]

During a meeting of the National Assembly's Land, Infrastructure and Transport Committee, lawmakers voiced opinions calling for revisions and supplements to the government's real estate policies. In particular, both ruling and opposition members raised concerns that the increased tax burden on "non-resident single-home owners" could lead to hikes in jeonse (lump-sum housing deposits) and monthly rent prices.

Reporter Park Chan-beom has the details.

[Reporter]

At the plenary meeting of the National Assembly's Land, Infrastructure and Transport Committee held yesterday afternoon (August 11).

A significant number of lawmakers from both the ruling and opposition parties expressed concern that if the government's tax reform plan strengthens the tax burden on "non-resident single-home owners," jeonse and monthly rent prices would surge as the burden is passed on to tenants or as more tenants are forced out.

[Kim Mi-ae / People Power Party lawmaker: What are homeowners who can neither physically reside in the property nor sell it supposed to do? They will end up reflecting the increased tax burden in rents.]

[Kang Duk-gu / Democratic Party lawmaker: When non-resident single-home ownership is regulated, owners must either physically reside in the house or sell it. From a tenant's perspective, situations arise where they are forced to vacate the home.]

In response to criticisms that the comprehensive real estate holding tax burden increases significantly for couples who jointly own a "non-resident single home," Minister of Land, Infrastructure and Transport Kim Yoon-duck answered that if joint taxation is disadvantageous, taxpayers can choose to apply the special taxation provision for single-home households.

[Kim Eun-hye / People Power Party lawmaker: The President has also encouraged marriage, so shouldn't this penalty be removed as well?]

[Kim Yoon-duck / Minister of Land, Infrastructure and Transport: As I understand it, it is possible to receive the special provision (for single-home owners).]

There was also criticism that the so-called "marriage penalty," where the combined annual income threshold actually drops upon marriage making couples ineligible for low-interest policy loans, needs to be improved.

[Mo Kyoung-jong / Democratic Party lawmaker: For newlywed couples, the standard is set at 85 million won or less in annual income. The standard for a single individual was 60 million won, and the reality is that it is actually shrinking.]

Ruling and opposition lawmakers engaged in a blame game over the housing supply shortage in Seoul.

[Kim Nam-geun / Democratic Party lawmaker: (Seoul Mayor Oh Se-hoon) did not manage housing starts. With this persisting for four years straight, how can housing supply go well?]

[Kim Jeong-jae / People Power Party lawmaker: During the 10 years under former Seoul Mayor Park Won-soon, about 400 redevelopment zones were canceled.]

Minister Kim stated that he deeply regrets the recent simultaneous rise in home sales and jeonse and monthly rent prices, adding that the government will increase real estate supply in the Seoul metropolitan area, even if it means lifting greenbelts.

(Photo: Lee Seung-hwan, Shin Dong-hwan | Video Editing: Nam Il)