Vice Prime Minister and Minister of the Ministry of Economy and Finance Koo Yoon-cheol said on the 15th that he would keep the threshold for a "large shareholder" subject to stock capital gains tax at the current 5 billion won.
At the "Chuseok livelihood stabilization measures ruling-party–government consultation" held at the National Assembly that day, Vice Prime Minister Koo said, "We comprehensively considered the public's desire to revitalize the capital market along with the Democratic Party of Korea's position that the large-shareholder threshold should be maintained."
He noted, "Since announcing the tax reform plan in Jul., there has been much deliberation between normalizing taxation related to the large-shareholder threshold for stock capital gains tax and the need to revitalize the capital market," adding, "The government will continue to make every effort to support growth in corporations and the national economy through capital market revitalization and productive finance."
Earlier, the Ministry of Economy and Finance announced a tax reform plan that would tighten the per-issue stock holding threshold for large shareholders from 5 billion won to 1 billion won.
An official at the Ministry of Economy and Finance said, "In addition to this measure, we will create a 150 trillion won National Growth Fund and support the introduction of business development companies (BDC), among other policies to develop the capital market and enhance corporate value," adding, "We also plan to continue active communication with the market."