[Yoon Administration Tax Law] KCCI "Welcomes Government Tax Reform Plan... Expects Corporate Burden Relief"

"Stabilizing Livelihoods and Improving Business Management Conditions"

[Asia Economy Reporter Kiho Sung] The Korea Employers Federation (KEF) expressed its welcome for the government’s ‘2022 Tax Reform Plan’ announced on the 21st. In particular, it is expected that the tax reform plan will alleviate the burdens on companies suffering from a high-cost economic structure due to COVID-19, high inflation, and high interest rates.

In a statement released that day, KEF said, "We actively welcome the tax reform plan announced today, which contains progressive measures that can contribute to improving the quality of life for the public through stabilizing livelihoods and improving business conditions."

It added, "Especially, the reduction of the highest corporate tax rate and the strengthening of tax support for advanced industries are expected to enhance tax competitiveness in line with global standards, thereby helping to improve the domestic investment environment and increase future growth potential. The adjustment of income tax brackets is also expected to reasonably improve the system according to changes in the economic situation and contribute to reducing the tax burden on the public."

KEF emphasized, "We hope that the National Assembly will actively cooperate in the legislative process so that this reform plan can be reflected in tax law and implemented. We also expect that bold follow-up measures will be more actively supplemented to reduce the burdens on the public and companies facing difficult economic conditions and to revitalize the private economy."