Lee Junseok: "Transfer 30% of Corporate Tax to Local Governments... Introduce Competitive System Allowing Regional Tax Rate Competition"

"Minimum Wage Should Also Allow for Regional Differentiation"

Lee Junseok, the presidential candidate of the Reform New Party who was confirmed early as a candidate, is continuing his campaign by announcing policy pledges. Lee is advocating for regional decentralization, proposing that issues such as the minimum wage and corporate tax be determined at the local level, while also presenting pledges with a strong conservative orientation.

On April 25, Lee pledged to allocate 30% of the national corporate tax to local governments and to reform the tax system so that localities can autonomously determine this tax. Lee's camp explained, "We will revise the current tax law, which collects 10% of the corporate tax as local corporate income tax, to increase it to 30%. Instead, we will grant local governments the authority to set their own tax rates, thereby introducing a competitive corporate tax system." If this policy is implemented, corporate tax rates would differ by region, making it possible for localities to lower corporate taxes to attract businesses.

Lee Junseok, the presidential candidate of the Reform New Party, is greeting commuters on the morning of the 24th at the Bukdaejeon IC intersection in Yuseong District, Daejeon. Photo by Yonhap News

An official from Lee Junseok's campaign policy headquarters stated, "In extreme cases, there could even be regions with no local corporate income tax at all."

The plan also includes allowing the minimum wage to be applied differently depending on the local government. The intention is to allow local governments to autonomously determine the minimum wage according to their specific circumstances, thereby using this as a tool to enhance competitiveness in attracting businesses between regions.

Previously, Lee also proposed a government reorganization plan to consolidate 19 ministries into 13.