President's Final Ultimatum... Lee: "100 Days Left for Heavy Tax Suspension, Do Not Try to Defeat the Government"

President Lee’s SNS Message on February 1
Regarding the Suspension of Heavy Capital Gains Tax on Multiple Home Owners
"Unearned Income Should Not Be Protected"
To the Media: "Refrain from Baseless Criticism"

President Lee Jae-myung is drinking water at the National Startup Era Strategy Meeting "K-Startup Creates the Future" held at the Blue House on the 30th. Photo by Yonhap News

On February 1, President Lee Jae-myung warned, "Do not try to unfairly outmaneuver the government," regarding the expiration of the temporary suspension of the heavy capital gains tax on owners of multiple homes, which will end on May 9. This is interpreted as pressure on owners of multiple homes to sell their properties before the suspension ends. President Lee also criticized the media for defending owners of multiple homes, urging them to "refrain from condoning ruinous speculation."

President Lee stated on his Social Network Service (SNS) that while he does not condemn making money within the system, "we cannot allow the country to be ruined by leaving a few people’s unearned income unchecked in order to protect their profits without limit."

Previously, on January 23, President Lee made it clear that he had no intention of extending the temporary suspension of the heavy capital gains tax on owners of multiple homes. The heavy capital gains tax on multiple-home owners was introduced by the Moon Jae-in administration in 2021, but in May 2022, the Yoon Suk-yeol administration suspended it for a year to stimulate housing transactions, and the suspension has been extended annually since then.

President Lee emphasized, "A system can be changed if necessary." He explained, "This is not a forced sale, and we are imposing a heavier tax on profits that are not particularly desirable for the public good, but we have already provided four years of opportunity to avoid it, which seems sufficient. Moreover, the heavy capital gains tax on owners of multiple homes was not suddenly created by this administration, but was established long ago and merely postponed in implementation; its expiration on May 9, 2026, was announced last year."

President Lee further warned, "Do not try to unfairly outmaneuver the government by claiming this is a bolt from the blue. Instead, make good use of the tax reduction opportunity that our society has provided. There are still 100 days left."

To the Media Criticizing Real Estate Policy: "Please Refrain from Baseless Criticism"

President Lee's Social Network Service (SNS) Message

President Lee also shared articles discussing the side effects of regulations on owners of multiple homes, adding criticism directed at the media. He questioned, "Why is the media so intent on supporting ruinous speculation?" He continued, "Because people are buying dozens or even hundreds of homes they do not intend to live in just to make money, housing prices and rents have skyrocketed, causing young people to give up on marriage and leading to a decline in births, to the point where the nation is at risk of disappearing. Is it really so unreasonable to impose some taxes on the money earned in this way?"

President Lee further argued, "If we are to criticize anything, it should be real estate speculation itself, or the unreasonable expectation for another extension of the tax cut after missing the four-year opportunity that was already given. The heavy capital gains tax was scheduled to be implemented four years ago and was enacted even before that. Why is it now being criticized as a sudden misfortune?"

President Lee strongly rebuked, "Trying to side with the majority of owners of multiple homes to put the government in a difficult position is the kind of low-level self-interest that says, 'It does not matter if the country collapses as long as I can attack my opponent.' I sincerely hope that, even if you cannot always report with integrity, you will at least refrain from condoning ruinous speculation or baseless criticism of the government."

On the previous day, President Lee also expressed his commitment to real estate stabilization on SNS, stating, "Normalizing the real estate market is much easier and more important than reaching KOSPI 5000 or restoring the valleys," referring to the stock index and river restoration projects. In response, Park Sunghoon, Chief Spokesperson of the People Power Party, criticized, "If normalizing the real estate market is so easy, it is absurd that it has not been achieved yet." President Lee responded again on SNS, saying, "(Achieving KOSPI 5000 and restoring the valleys) seemed impossible and was even ridiculed as unrealistic, but we accomplished them with all our efforts. Stabilizing housing prices is neither more difficult nor less important, and we will ultimately succeed."

President Lee asserted, "There are plenty of legal and political tools available, but in reality, we have not been able to use the strongest and most optimal measures due to political calculations. If we trust the people and break free from political calculations, nothing is impossible."