Local Tax Research Institute Contributes 5 Trillion Won This Year Alone Through Standard Price Survey

152,000 Cases of Building and Other Inspections and Valuation Support
Free Valuation of Unreported Apartment Market Standard Value
Director Kang Seong-jo: "No Disruption in Local Tax Imposition"

The Korea Local Tax Research Institute conducted an investigation and calculation of the standard market value prices for buildings, officetels, vehicles, and more this year, contributing to the collection of a total of 50 trillion won in tax revenues, including property tax.

According to the Ministry of the Interior and Safety on the 19th, the institute surveyed and calculated the standard prices for a total of 152,000 cases of buildings, officetels, vehicles, and others this year, and 243 local governments nationwide levied property tax, acquisition tax, and local resource facility tax based on these prices.

The standard price is called the Building Reconstruction Price Standard for buildings, the Standard Price for officetels, and simply "standard price" for other items. The Building Reconstruction Price Standard reflects the building reconstruction cost and calculates the price per square meter for six different uses including residential. The Standard Price for officetels was calculated through field surveys of a total of 25,000 officetel units. The standard price for other items was based on 127,000 cases of Ministry of Land, Infrastructure and Transport registration data, including vehicles.

In particular, the institute provided free calculation of the standard market value for 4,000 apartment units whose official prices were not disclosed this year, supporting 229 basic local governments nationwide to levy property tax and other taxes. Previously, each local government outsourced this to the Korea Real Estate Board at a cost of 140,000 won per case, but the institute’s free calculation resulted in an annual budget saving of 500 million won.

The institute also conducts training for responsible public officials. Among 12,000 tax officials nationwide, more than 1,000 officials responsible for tax base and property tax receive specialized education twice a year on local tax standard market values to support their tax base work. Workshops on tax base are also held every year in the first and second half of the year.

Kang Seong-jo, President of the Korea Local Tax Research Institute, stated, "The importance of the tax base in local tax levy and collection is increasing every year. In 2025, we will do our utmost to flawlessly carry out the standard market value investigation and calculation project so that each local government can levy property tax and others without any issues, greatly aiding local governments nationwide in tax revenue collection."