"Real Estate Information Also to Be Exchanged Automatically Overseas"... Korea Joins OECD Joint Statement with 25 Countries

Call for Multilateral Agreement on Automatic Exchange of Real Estate Information
Targeting Agreement Membership by 2029 or 2030

On December 4, the government participated in a joint statement at the annual meeting of the OECD Global Forum held in New Delhi, India, together with 25 countries and jurisdictions including France, the United Kingdom, and Germany, supporting and urging participation in the "Multilateral Competent Authority Agreement on Automatic Exchange of Information on Real Estate" (IPI MCAA). The purpose of this agreement is to prevent offshore tax evasion through overseas real estate by enabling member countries to automatically exchange information related to real estate income every year.

Provided by the Ministry of Economy and Finance

This joint statement was made as part of the OECD's ongoing efforts to expand the automatic exchange of information between countries in order to strengthen tax transparency and prevent offshore tax evasion. Through this initiative, the government has decided to expand information exchange beyond financial information (since 2017) and crypto-asset information, which is scheduled for implementation in 2027, to include non-financial assets such as real estate.

The joint statement contains the participating countries' consensus on the need for an automatic exchange system for real estate information and confirms the goal of joining the agreement by 2029 or 2030. It also calls for more countries and jurisdictions to join the international community's efforts to enhance the effectiveness of the automatic exchange of real estate information.

The Ministry of Economy and Finance stated, "This joint statement is expected to promote the spread of the automatic exchange system for real estate information," and added, "Once this automatic information exchange is implemented, we expect to be able to effectively respond to offshore tax evasion using overseas real estate."

The ministry also said, "Going forward, the government plans to actively participate in the international community's discussions to ensure the spread and smooth implementation of the automatic exchange of real estate information," and added, "We will continue to expand international cooperation to strengthen tax transparency."