[Asia Economy Yeongnam Reporting Headquarters Reporter Lee Young-wook] Daegu City has decided to reduce local taxes for small and medium-sized enterprises and small business owners affected by the novel coronavirus infection (COVID-19) crisis. In addition, rent will be reduced for companies residing in public facilities under its jurisdiction.
On the 26th, Daegu City announced that it will exempt resident tax amounting to about 8.06 billion won for 129,000 individuals, including sole proprietors affected by COVID-19 and corporate businesses with capital of 1 billion won or less.
For hospitals dedicated to infectious disease treatment and screening clinics operating for COVID-19, property tax of 500 million won and resident tax of 2.4 billion won will be reduced.
The payment deadline for corporate local income tax for local corporate businesses will be extended by three months from the existing end of April to the end of July. For 783 tenant companies in city-owned public facilities experiencing sales decline, 80% of the rent for half a year (February to July) will be reduced, and full exemption will be granted to businesses that are temporarily closed or shut down.
Also, Daegu Urban Corporation will reduce rent by 50% for public rental tenants and permanent rental stores totaling 9,303 locations, and 14 investment and foundation institutions such as EXCO and Daegu Technopark will also participate in rent reduction.
Furthermore, 'Good Landlords' who reduce rent will receive 50% of the reduction amount as national tax support and an additional 10% reduction in building property tax.
A Daegu City official explained, "With this measure, citizens will benefit from about 30 billion won in tax and rent savings."
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