South Korea Financial Watchdog: Abolition of Financial Investment Income Tax Needs Internal Coordination

South Korea Financial Watchdog: Abolition of Financial Investment Income Tax Needs Internal Coordination

**Lee Bok-Hyun, head of South Korea's financial watchdog, says the tax break for financial investment income is necessary** According to SBS, Lee Bok-hyun, the head of South Korea's Financial Supervisory Service (FSS), expressed his support for abolishing the financial investment income tax during a press conference on May 25th. "It seems cowardly to not have a tax exemption plan," Lee said. The FSS, along with organizations like the Korea Exchange, recently held a public forum on financial investment income tax. There, many attendees, including individual and institutional investors, voiced objections to the tax, arguing it has more negative than positive impacts on taxable income. They also noted the tax's conflict with measures designed to foster corporate development. Lee acknowledged these concerns, stating that the government's position on eliminating the tax has not changed. However, given the substantial opposition, the government will need to coordinate its views and submit them to the National Assembly for further discussion. Previously on April 24th, Lee Bok-hyun emphasized the government's intention to abolish the financial investment income tax during a meeting with reporters after leading a public discussion on the subject. He stated that the government's position remained unchanged despite concerns raised by individuals and institutional investors. The government would require time to coordinate its views internally before presenting them to the National Assembly.