GNP puts brakes on tax cuts for wealthy
2010-11-17
The Lee Myung-bak administration’s iconic tax cut policy is stumbling over objections from within the ruling Grand National Party that the current tax rates for those in the top income bracket should be retained.
Tax cuts were Lee’s key campaign pledge and most of them have been carried out already. Income tax rates were lowered by 2 percentage points for those earning 88 million won or less in taxable income. Corporate tax rates were trimmed by 3 percentage points. An income tax cut for those making more than 88 million won in taxable income and an additional corporate tax cut for companies with more than 200 million won in taxable profits, however, were deferred until 2012.
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