Daejeon City Imposes Resident Tax of 21 Billion Won on 650,000 Cases This Year

[Asia Economy (Daejeon) Reporter Jeong Il-woong] Daejeon City will impose 21 billion KRW in resident tax on 650,000 cases this year.

The city announced on the 11th that it has sent the 2022 resident tax (individual portion) bills as of July 1 to household heads with addresses in Daejeon and foreigners who have stayed in Daejeon for more than one year.

The resident tax payment amount is 12,500 KRW, combining 10,000 KRW for resident tax and 2,500 KRW for local education tax. By district, Seo-gu, which has the largest population, will be charged resident tax on about 179,000 cases totaling 2.203 billion KRW, while Daedeok-gu, with the smallest population, will be charged on about 69,000 cases totaling 860 million KRW.

Individual business owners and corporations with business locations in the region must check the resident tax (business location portion) declaration and payment slips sent earlier this month and file and pay by the 31st.

The target includes individual business owners and corporations with business locations in Daejeon as of July 1. The resident tax (business location portion) applies the business location and total floor area as the tax base. The tax amount is calculated and combined based on the basic tax rate (75,000 KRW to 300,000 KRW) and the rate per floor area (250 KRW/㎡).

Due to last year's revision of the Local Tax Act, corporations and individual business owners will integrate the previously July-declared and paid resident tax property portion and the August-paid resident tax uniform portion into a single payment starting this year.

Also, the name has been changed to resident tax business location portion, so the resident tax property portion must also be declared and paid this month as resident tax business location portion.

Accordingly, the city sent about 91,000 payment slips totaling 14 billion KRW (including local education tax) earlier this month to facilitate payment of resident tax (business location portion).

Taxpayers who receive the payment slip and whose tax amount on the slip matches the amount to be declared are considered to have declared and paid without any additional procedures if they pay within the deadline.

A city official said, “Resident tax is a valuable resource that local governments use to provide administrative services closely related to residents' lives,” and urged timely payment within the deadline.