Top Priority for the 21st National Assembly: Amend Comprehensive Real Estate Tax, Director Noh Young-min Instructs Aides and Strongly Urges 청 Secretary to Dispose of Multiple Houses
[Asia Economy Reporter Ryu Jung-min] “Review the plan to promote the amendment to the Comprehensive Real Estate Tax Act as the government's top legislative priority in the 21st National Assembly.”
On the 2nd, President Moon Jae-in instructed his Blue House aides to resolve the real estate issue. This is essentially a declaration of war on real estate. It is an urgent directive in response to the persistent real estate fever centered around the Seoul metropolitan area even after the government's June 17 measures were announced. According to Blue House spokesperson Kang Min-seok, the president's directive demonstrates the government's strong determination to address the real estate problem.
In particular, President Moon planned to receive an urgent briefing from Minister of Land, Infrastructure and Transport Kim Hyun-mi at 4 p.m. that day. After checking the real estate market situation, he intended to express his determination to solve the problem. The Blue House planned to release the president's message following the urgent briefing. Regarding the briefing, Spokesperson Kang said, “There will likely be a report on real estate measures and presidential instructions.”
Before the briefing, President Moon instructed his aides to review the plan to promote the amendment to the Comprehensive Real Estate Tax Act as the government's top legislative priority in the 21st National Assembly. The amendment includes measures to strengthen the comprehensive real estate tax and other real estate policies announced on November 16 last year.
However, the bill failed to pass in the 20th National Assembly, and the government plans to reintroduce the legislation. President Moon instructed to re-promote the comprehensive real estate tax, which was stalled due to the minority ruling party and majority opposition in the 20th National Assembly. Since the Democratic Party of Korea holds a majority in the 21st National Assembly, there is a high possibility that a bill with the president's strong will will pass.
The reason President Moon views the real estate issue so sensitively is due to the nightmare during the participatory government era. The participatory government experienced a collapse of its political support base as it failed to resolve the real estate problem. The largest margin of defeat in history is also closely related to the public's sense of deprivation regarding real estate issues.
Although President Moon has emphasized his determination to solve the real estate problem whenever possible, he has been criticized for failing to maintain internal discipline. This is because some senior Blue House officials, including those at the secretary level, still own multiple homes, including in Gangnam, without disposing of them.
While there are various reasons why it is difficult to dispose of these homes, from the public's perspective, the multiple home ownership by Blue House officials is hard to understand. Chief Presidential Secretary Noh Young-min meeting individually with secretaries who own multiple homes to recommend sales also reflects the seriousness of the matter.
A key Blue House official said, “Chief Secretary Noh strongly recommended that Blue House officials at the secretary level or higher dispose of all but one home by the end of this month unless legally impossible,” adding, “He also met with each individual to recommend sales.”
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