Post by Sapphire Capital on Sept 5, 2008 4:02:46 GMT 4
Korea goes for quicker tax cuts
Corporate tax in Korea will fall by up to five percentage points under plans to cut taxes throughout the economy. But the government proposes to implement the cuts three years earlier than plans announced earlier this year.
In February President Lee Myung-bak's government unveiled a phased reduction of corporate tax rates to 10% on incomes up to W200 million and 20% on higher amounts by 2013. These cuts will happen by 2010 under proposals released by the Ministry of Strategy and Finance on September 1.
Previously the limit for when the minimum rate ended and the maximum rate began was W100 million ($87,000). The government wants the National Assembly to give the proposals the go-ahead by October 2.
The government also plans to use tax benefits to increase the country's R&D spending to 5% of GDP by the end of 2012.
Corporate tax in Korea will fall by up to five percentage points under plans to cut taxes throughout the economy. But the government proposes to implement the cuts three years earlier than plans announced earlier this year.
In February President Lee Myung-bak's government unveiled a phased reduction of corporate tax rates to 10% on incomes up to W200 million and 20% on higher amounts by 2013. These cuts will happen by 2010 under proposals released by the Ministry of Strategy and Finance on September 1.
Previously the limit for when the minimum rate ended and the maximum rate began was W100 million ($87,000). The government wants the National Assembly to give the proposals the go-ahead by October 2.
The government also plans to use tax benefits to increase the country's R&D spending to 5% of GDP by the end of 2012.