Muan-gun, Nationwide First to Significantly Reduce Resident Tax Amid Prolonged COVID-19 Pandemic

Total Reduction of 1.013 Billion KRW... Full Exemption of Resident Tax Individual Portion, 50% Reduction of Business and Employee Portions

County Governor Kim San: "We Will Implement Tax Administration Focused on Taxpayers to Support Small Business Owners"

In March, Kim San, the governor of Muan County, held an emergency briefing on COVID-19. (Photo by Muan County)

[Muan＝Asia Economy Honam Reporting Headquarters, Reporter Oh Hwan-joo] Muan County, Jeollanam-do (Governor Kim San) will significantly reduce the 2021 resident tax nationwide for the first time to help residents struggling due to the prolonged COVID-19 pandemic.

According to the county on the 16th, last year, disaster relief funds of 100,000 KRW per person were provided to all residents to lead the effort to overcome the COVID-19 crisis. However, as the local economy continued to stagnate, the county revised the tax reduction ordinance to prepare tax support measures for local residents.

Accordingly, the county will promote a nationwide first full reduction of the 2021 resident tax (individual portion, business place portion, employee portion) in August. The individual portion of the resident tax, 11,000 KRW, will be fully exempted for all households, and the business place and employee portions will be reduced by 50%.

Once preparations for the resident tax reduction, including the establishment of reduction codes, are completed, the county plans to issue reduction notices and reduced tax bills to all 40,000 households and 5,500 business establishments in early August. The total reduction amount is expected to reach 1,013 million KRW.

Governor Kim San said, “I hope the resident tax reduction will help stabilize the lives of residents struggling with COVID-19 and revitalize the local economy,” adding, “We will continue to implement taxpayer-centered tax administration to support vulnerable groups, small business owners, and micro-entrepreneurs.”

Muan＝Asia Economy Honam Reporting Headquarters, Reporter Oh Hwan-joo ohj1358@asiae.co.kr