The Korea Times close
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
Business
  • Tech
  • Bio
  • Companies
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
Entertainment
& Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
Sports
World
  • SCMP
  • Asia
Video
  • Culture
  • People
  • News
Photos
  • Photo News
  • Darkroom
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
Fri, August 19, 2022 | 23:49
-------------------------
Seoul working on details of ’unification tax’: sources
Posted : 2011-07-18 20:06
Updated : 2011-07-18 20:06
Print Preview
Font Size Up
Font Size Down
By Kim Young-jin

South Korea is speeding up efforts to introduce a special tax in preparation for the possible reunification with North Korea, according to officials at the Ministry of Unification.

“We are mapping out details on how to help finance the massive costs of potential unification with the North,” a senior official has said.

The move for the unification tax in the South has brought about protest from North Korea, claiming Seoul has been seeking the tax in its bid to absorb its northern neighbor.

The relations between the Seoul and Pyongyang have remained tense since the latter’s two deadly attacks on the South last year.

Despite the lingering tension, President Lee Myung-bak cited the need to map out a blue print and use tax payers’ money to prepare for the unification.

“It is necessary to use the tax payers’ money to cushion the unification cost, which analysts say would be astronomical,” said the official requesting anonymity.

Lee has since said that South Korea has come closer to unification with North Korea and that the event would come unexpectedly, stressing unification is not a matter of choice, but a must.

“We are considering using the tax” to partly fund unification, but “we are working on a plan in a way that would not be a big burden on working-class citizens,” the senior official said, without elaborating.

Another official handling the issue said South Korea is eyeing setting aside more than 12 trillion won ($11 billion) to cover potential unification.

The two officials made the comments in a meeting with reporters near the border with North Korea on Friday. They spoke on the condition of anonymity, citing the issue’s sensitivity.

Experts estimate it could cost South Korea more than US$1 trillion to unify with the North, whose per capita income is about 5 percent the size of the Asia’s fourth-largest economy.

Earlier this year, a dozen ruling and opposition lawmakers introduced a bill that would make it legal for South Korean taxpayers to shoulder the cost. No major progress has since been made yet.

On Saturday, the North’s official Korean Central News Agency blasted Seoul’s proposed unification tax, denouncing it as a “war tax” to realize what it claims is Seoul’s plan to invade the North.

North Korea has frequently accused South Korea and the United States of plotting to invade the North, a charge that Seoul and Washington have repeatedly denied.
Emailyjk@koreatimes.co.kr Article ListMore articles by this reporter
 
LG
  • Suga of BTS remakes Galaxy's signature ringtone
  • Seoul to provide subsidies to households with babysitting grandparents
  • Hit TV series leads to surge in visitors to southern region of Korea seeking glimpse of dolphins
  • Korean businesses pressure gov't to lower inheritance tax
  • Government struggles to handle unused coronavirus vaccines
  • Yoon to reshuffle presidential office to regain public trust
  • Minister rebuked for 'submissive' stance toward Japan
  • Household income grows at record pace amid soaring inflation
  • Rare Joseon-era spherical sundial unveiled to public
  • Shinsegae to open integrated shopping mall in Gwangju
  • Interactive News
  • With tough love,
  • 'Santa dogs' help rebuild burnt forests in Andong
  • 'Santa dogs' help rebuild burnt forests in Andong
  • A tale of natural wine
    • 'Mukbang' binge-eating shows give way to new trend of eating little 'Mukbang' binge-eating shows give way to new trend of eating little
    • [INTERVIEW] YouTubers bridge Korean, Muslim and Latin American cultures [INTERVIEW] YouTubers bridge Korean, Muslim and Latin American cultures
    • [INTERVIEW] Jung Woo shapes his character for Netflix's 'A Model Family' [INTERVIEW] Jung Woo shapes his character for Netflix's 'A Model Family'
    • NCT Jaehyun drops first solo single 'Forever Only' NCT Jaehyun drops first solo single 'Forever Only'
    • Artist Do Ho Suh invites children to his clay fairyland Artist Do Ho Suh invites children to his clay fairyland
    DARKROOM
    • Ice is melting, land is burning

      Ice is melting, land is burning

    • Tottenham 6-3 Team K League

      Tottenham 6-3 Team K League

    • Afghanistan earthquake killed more than 1,000

      Afghanistan earthquake killed more than 1,000

    • Divided America reacts to overturn of Roe vs. Wade

      Divided America reacts to overturn of Roe vs. Wade

    • Namaste: Yogis to celebrate International Yoga Day

      Namaste: Yogis to celebrate International Yoga Day

    The Korea Times
    CEO & Publisher : Oh Young-jin
    Digital News Email : webmaster@koreatimes.co.kr
    Tel : 02-724-2114
    Online newspaper registration No : 서울,아52844
    Date of registration : 2020.02.05
    Masthead : The Korea Times
    Copyright © koreatimes.co.kr. All rights reserved.
    • About Us
    • Introduction
    • History
    • Location
    • Media Kit
    • Contact Us
    • Products & Service
    • Subscribe
    • E-paper
    • Mobile Service
    • RSS Service
    • Content Sales
    • Policy
    • Privacy Statement
    • Terms of Service
    • 고충처리인
    • Youth Protection Policy
    • Code of Ethics
    • Copyright Policy
    • Family Site
    • Hankook Ilbo
    • Dongwha Group