Choi Sang-mok, 'Mentions Review of Income Tax Inflation Linkage'... Cautious App

Deputy Prime Minister and Minister of Economy and Finance, Choi Sang-mok, stated at the National Assembly's Planning and Finance Committee audit on the 11th that he would "comprehensively review" the introduction of a system that links the income tax base to the inflation rate.

This statement reflects the need for in-depth discussions across policy areas to reduce the tax burden on citizens due to rising inflation.

Minister Choi emphasized the need for a cautious approach, stating, "This is a fundamental issue, and it's not just about tax reform; it could affect the entire economy."

In response to a question about the need to expand tax credits for earned income, Choi remarked, "Wage earners play a crucial role in securing tax revenue," adding that he considers them "patriots" from the perspective of tax revenue generation.

However, he pointed out the difficulties in expanding tax credits, considering the effective tax rate and the proportion of exempted individuals, highlighting policy challenges.

Choi's comments come amid increasing calls for reform of the income tax system, as citizens' real income continues to decline in the face of rapid inflation.

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Choi Sang-mok, 'Mentions Review of Income Tax Inflation Linkage'... Cautious Approach Needed for Overall Economy