As criticism of a "retreat" mounted from hard-line progressive circles after the government restored the cap on comprehensive real estate tax relief for one nonresidential home to 1.2 billion won from a planned cut to 900 million won, President Lee Jae-myung signaled displeasure, saying, "We should consider whether it is reasonable to disparage based on a very small part."
On the 2nd, the president questioned on social media X (formerly Twitter), "Is changing a policy position injustice, and is sticking to it unconditionally right?"
On the 1st, at a Cabinet meeting, the government reviewed and approved plans to ▲ keep the cap on comprehensive real estate tax relief for mid- to low-priced nonresidential one dwellings at 1.2 billion won (not reducing it to 900 million won), and ▲ keep the annual increase limit on the comprehensive real estate tax at the original 150% instead of raising it to 200%.
The president said, "There is criticism such as, 'Why is there no consistency?' and 'This is a reform rollback,'" adding, "But that overlooks changes to the comprehensive real estate tax for high-priced nonresidential one dwellings, changes to the comprehensive real estate tax for owners of multiple or ultra-high-priced dwellings, and in particular the reduction of capital gains tax relief for nonresidential one dwellings, ultra-high-priced dwellings, and multiple dwellings."
He added, "Also, a 200% cap on comprehensive real estate tax increases is not just, nor is 150% unjust," saying, "It is simply a matter of policy choice where likes and dislikes intersect."
The president said, "I hope people will look not only at aggressive hard-line claims but at the entirety of the policy content, and also examine why dwelling prices in areas such as Gangnam are now plunging."
He continued, "If we had kept 1.2 billion and 150% from the start, would there have been no criticism? Now that the main target has disappeared, will they latch onto something else?"
Finally, the president wrote, "People say it is a post-truth era, but I hope we can restore genuine politics that, with a focus on the people and the state based on truth, contests what better serves the national interest," adding, "What we need now is proper politics and a 'competition to do well,' not agitation and slander based on falsehoods or unconditional criticism."