8·3 Tax Reform Plan, Tax Bomb for Non-Resident Single Homeowners? How Much Will Capital Gains Tax and Comprehensive Real Estate Tax Increase? | Kim Ji-yeon, Yeo Do-eun, Heo Jae-mu [Morning N Investment]

Summary

Tax accountant Kim Ji-yeon discussed the 8·3 tax reform proposal, focusing on capital gains tax and comprehensive real estate tax changes for non-resident single-home owners. The plan removes or limits long-term holding deductions and cuts tax deductions sharply for non-resident owners, creating pressure on ultra-high-priced Seoul homeowners to sell. She noted Seoul jeonse listings have already dropped more than 3% and expects rental supply to tighten and rents to rise. The proposal is still an early draft and likely to be revised through the National Assembly before year-end.

• The 8·3 plan removes the holding-period component of the long-term capital gains special deduction by 2029.
• Deduction limits fall to KRW 2 billion in 2028 and KRW 1 billion in 2029.
• Comprehensive real estate tax deductions are cut sharply for non-resident single-home owners.
• Jeonse listings fell more than 3% in the three weeks after the announcement.
• Some Apgujeong-dong high-end sellers are listing around 10% below market.
• The plan is not final; National Assembly review and revisions are expected by year-end.