The Korea Herald


Tax revenue down W36.4tr through May

By Yonhap

Published : June 30, 2023 - 11:36

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(Herald DB) (Herald DB)

South Korea's tax revenue fell 36.4 trillion won ($27.6 billion) in the first five months of 2023 from a year earlier, data showed Friday, on weaker corporate performance and a slump in the local property market.

Tax revenue amounted to 160.2 trillion won during the January-May period, down from 196.6 trillion won tallied a year earlier, according to the Ministry of Economy and Finance.

In May alone, the government collected 26.2 trillion won in taxes, down 2.5 trillion won from the previous year.

The ministry blamed the decline in tax revenue on the slump in the property market, which resulted in a decrease in capital gains tax collected.

Income tax collected in May came to 15.4 trillion won, down 700 billion won from a year earlier, the data showed.

The amount of corporate tax collected also slipped 1.5 trillion won over the period to 8.1 trillion won amid weaker earnings.

The sluggish property market led to a drop in inheritance and gift tax revenue as well, with the amount falling 200 billion won to 900 billion won.

The securities transaction tax, which had been losing ground amid economic uncertainties, slightly rose by 100 billion won to 700 billion won amid signs of a recovery in the stock market. (Yonhap)