Seocho-gu cuts property tax rate by 50% for a homeowner with 900 million or less

Entry 2020.09.25 14:56

Seocho-gu, Seoul, announced on the 25th that a partial amendment ordinance to reduce the property tax burden for “one home, one owner” was passed at a district council plenary session. This means that the property tax refund, which is only promoted by Seocho-gu, will take place within this year.

The ‘Seocho-gu, Seoul Salvation Ordinance Partial Amendment Ordinance’ contains the content that 50% of the property tax by 2020 will be reduced for the ownership of a house with a market value of 900 million won or less. Houses with more than 900 million won were excluded because there was no real cut benefit since the government collected the tax.

Seocho-gu will refund up to 6.3 billion won in property taxes to one owner for 69145 houses with less than 900 million won, which is 50.3% of the dwellings in the building (13.7442). Also, except for Seoul, which is 50% property tax, only the property tax rate is reduced for the remaining autonomous districts. There are no changes to the joint taxes paid to Seoul. It does not happen that other municipalities lose their share.

A homeowner with less than 900 million won in Seocho-gu is reimbursed an average of 100,000 won from a minimum of 10,000 won to a maximum of 450,000 won. In the future, Seocho-gu is expected to determine the goal of reducing the property tax rate by asking the Ministry of Land, Infrastructure and Transportation for data related to a household and a dwelling.

Previously, Seocho-gu was the only one of the 25 autonomous districts of Seoul that promoted the reduction of the property tax. This is because the economy is slow this year due to the new coronavirus infection (Corona 19), and official government price adjustments have caused the property tax to increase more than any year, increasing fiscal pain between people.

On the 31st of last month, Seocho-gu proposed a property tax reduction plan in the sense that 25 autonomous districts of Seoul will join the Council of Mayors. The result was rejected 24: 1.

The district mayor, Cho Eun-hee, said: “We hope that Seocho-gu’s attempts will be welcomed and that other autonomous districts will join us,” he said. “I hope that the Ministry of Land, Infrastructure and Transportation will quickly provide data on a home and the government will implement property tax cuts quickly.”