Payment Due by the 15th of Next Month
78 Million Fewer People and 2 Trillion Won Less Tax Compared to Last Year
The number of taxpayers and the amount of comprehensive real estate tax (종합부동산세) payable for the 2023 tax year have significantly decreased compared to last year.
According to the National Tax Service on the 29th, the total number of comprehensive real estate tax notices issued this year is 500,000, with a total tax amount of 4.7 trillion KRW. For residential properties, there are 410,000 taxpayers with a tax amount of 1.5 trillion KRW, and for land, there are 110,000 taxpayers with a tax amount of 3.2 trillion KRW.
The basic deduction amount for residential properties has been raised from 600 million KRW to 900 million KRW for individuals, and from 1.1 billion KRW to 1.2 billion KRW for single-household owners. Due to a decline in official property prices, the number of taxpayers decreased by 780,000 and the tax amount decreased by 2 trillion KRW compared to 2022.
The comprehensive real estate tax is imposed when the total official price of houses or land owned by an individual as of the tax base date, June 1, exceeds the exemption amount for each taxable asset. The exemption amount for houses such as apartments, multi-family, and detached houses is 900 million KRW (1.2 billion KRW for single-household owners), and for comprehensive combined land such as vacant lots and miscellaneous land, the exemption amount is 500 million KRW.
If the total comprehensive real estate tax payable (including the special rural tax) exceeds 3 million KRW, taxpayers can pay in installments over six months without any additional interest charges.
Additionally, single-household owners aged 60 or older and those who have held the property for more than five years can defer payment of the residential portion of the comprehensive real estate tax until the occurrence of reasons such as transfer, gift, or inheritance of the property, provided they offer tax payment security.
The National Tax Service has sent separate notices to 7,000 taxpayers eligible for payment deferral applications. From this year, applications can also be made through the Hometax system.
Taxpayers who find discrepancies in their comprehensive real estate tax notices or who failed to report exclusions or special cases can voluntarily report and pay by the payment deadline. When filing electronically via Hometax, taxpayers can easily file using various support services such as real-time property inquiry and pre-filled forms.
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