Holding Tax Debate Continues... Ruling Party Divided as Opposition Steps Up Criticism

Property Holding Tax Remains in the Spotlight After October 15 Real Estate Measures
Ruling Party Lawmakers: "Revision Needed, But Not a Real Estate Policy"
Opposition Leverages Ruling Party Disagreements, Including Jin Sungjoon's Remarks

Following the announcement of the October 15 real estate measures, the debate over the potential revision of property holding taxes as an additional tax measure continues within the ruling party, with internal disagreements persisting and controversy showing no signs of subsiding.

Yonhap News Agency

On October 23, a member of the Democratic Party's Task Force for Stabilizing the Housing Market told The Asia Business Daily in a phone interview that while "there is a need to revise the property holding tax to reflect the current times," it would be "difficult to view this as a real estate measure."

Bok Giwang, another member of the task force, also appeared on YTN Radio's "Kim Youngsoo's The Interview" the same day, stating, "The goal of real estate policy should be to implement a solid supply policy without getting caught up in the trap of tax policy." However, he also emphasized, "I believe that both financial policy and tax policy have a significant impact on the market." Bok cited the example of someone owning ten apartments worth 500 million won each versus someone owning a single apartment worth 5 billion won, saying, "When comparing the taxes in these two cases, the owner of the ten 500 million won apartments pays much more to an incomparable degree," and questioned, "Is this truly fair?"

Another task force member, Lee, added, "Currently, taxes are imposed based on the number of houses owned, but I believe it should be based on the total value." However, he reiterated, "While the holding tax does need to be revised, since we have already tried to address it as a real estate measure multiple times, I don't think it will be successful."

Jang Donghyuk, leader of the People Power Party, is speaking at the Supreme Council meeting held at the National Assembly on October 23, 2025. Photo by Kim Hyunmin

The ruling party leadership is drawing a line regarding the discussion of holding taxes as a real estate measure, but disagreements persist both inside and outside the party. On October 22, Assemblyman Jin Sungjoon appeared on CBS Radio's "Kim Hyunjung's News Show" and commented, "If the October 15 measures had included the holding tax, they might have achieved a more definite effect." However, Jin also added, "Since this is a politically sensitive issue, the party and the government seem to be acting cautiously."

Meanwhile, the People Power Party is focusing on the public unrest surrounding real estate issues and is using this as a basis for its attacks on the ruling party. The party began its Supreme Council meeting on this day by broadcasting a video of Assemblyman Jin's remarks regarding the holding tax. Jang Donghyuk, leader of the People Power Party, argued, "If the holding tax is increased, homeowners will face a tax bomb, while those without homes will be hit by a surge in rent and lease prices equivalent to the tax increase."