Minho Party floor leader Yun Ho-jung speaks at a policy coordination meeting held at the National Assembly in Yeouido, Seoul on the morning of the 11th. yunhap news
Conflict between the Democratic Party and the government is escalating over the method of raising funds for national disaster relief, as claimed by Democratic Party candidate Lee Jae-myung. The Democrats are trying to defer some of the tax to be collected this year until next year and turn it into disaster relief funds, but the government has repeatedly expressed disappointment. The opposition party said, “The method of deferring tax payment is equivalent to a crime of loss of the state treasury,” and said it would be willing to file a complaint.
Democratic Party floor leader Yun Ho-jung said at a party policy coordination meeting on the 11th, “The claim that postponing taxes for next year is a ‘trick’ and ‘violation of the National Tax Collection Act’ is fake news.” This is a rebuttal of Lee and Hong Nam-ki, the Deputy Prime Minister and Minister of Strategy and Finance, the previous day’s remarks that “it is in violation of the National Tax Collection Act” regarding the provision of the national disaster aid fund promoted by the Democratic Party as a tax deferral, defining it as ‘fake news’.
“Tax payment deferral is an annual event as needed, and even at the end of last August, the government planned a large-scale deferral to help taxpayers with difficulties due to COVID-19,” said Yoon. The government held a major emergency economy meeting on August 26 and deferred tax payment of 3.7 trillion won in value-added tax to be collected in October and 2.5 trillion won in global income tax due to be collected in November until next year.
“There is no reason to argue with what the government has already announced and postponed to next year,” said Yoon, the floor leader. I will look forward to it,” he repeated.
Park Wan-joo, chairman of the policy committee, also said, “We will respond decisively to fake news and political disputes. He said, “The National Tax Service is taking deferment measures and extending the payment deadline every year in accordance with the National Tax Collection Act.” He said, “It is neither impossible nor illegal.”
The government is still fighting hard. Deputy Prime Minister Hong Nam-ki appeared at a plenary meeting of the National Assembly’s Planning and Finance Committee on the same day and answered a question to Rep. Seo Byung-soo of People’s Power, “It is not easy to come up with all the proposals from a financial position. It is judged that it is necessary to check and consider whether the content being raised really needs support and whether financial support is possible.” They all expressed a negative stance on the 10 trillion won support for the daily recovery of the people promoted by the Democratic Party, the 25 trillion won additional payment for disaster relief proposed by Candidate Lee Jae-myung, and the 50 trillion won for loss compensation mentioned by the presidential candidate Yoon Seok-yeol.
Deputy Prime Minister Hong reiterated his opposition to the policy of raising subsidies through tax payment deferral, saying, “The requirements under the National Tax Collection Act are very strict, so only those that meet those requirements can be made.” He said, “If the requirements for recognition of the National Tax Collection Act are met, the payment deadline can be extended to the disadvantaged class,” he said.
Prime Minister Kim Bu-gyeom also appeared on KBS TV the night before and said, “It is a story that the government does not currently have a solution for. I don’t know how the public will respond if I say, ‘Let’s start with that.'” he said. Prime Minister Kim said, “If it is to be realistically possible, there must be a part that the public can understand, such as the financial condition.”
The people’s power strongly opposed it. If the government cooperates, it will be willing to take accusation measures. Kim Ki-hyeon, floor leader of the People’s Power, met with reporters after reporting on the party’s pending issues on the same day and said, “In the case of fuel tax and comprehensive real estate tax, which are due in December, to defer payment, you must follow the clear requirements set out in the National Tax Collection Act, but those requirements are not met at all. “If you defer payment by unreasonably interpreting the law, it will be a crime of loss of government money, neglect of duty, and breach of duty.
According to the National Tax Collection Act, to extend the payment deadline, the taxpayer must pay fuel tax when it is recognized that it is difficult for the taxpayer to pay the national tax by the due date, such as a severe loss of property due to a disaster or theft or a significant loss to business. It is said that the postponement is not appropriate because the business performance of the oil refinery, etc., is not bad.
Floor leader Kim said that he would consider a claim for indemnity if he/she suffers a loss in interest income due to tax payment deferral. He said, “If there is a responsibility for breach of trust (claiming the right to redress), it is very natural.”