Controversy over Democratic Party gold tax debate Kim Young-hwan’s remarks
Kim, “It’s not an investment recommendation” as controversy grows
Democratic Party: “When deciding on a deferred party policy, we will discuss it with the ruling party”
“Supporting the stock market should be the top priority. Let’s put aside the controversy over the financial investment income tax (FIIT) and focus on increasing the value of the capital market.” (Rep. Kim Hyun-jung, Democratic Party of Korea)
“The purpose of the gold investment tax is to improve tax fairness and advance the domestic capital market, not to raise new taxes.” (Democratic Party Rep. Kim Young-hwan)
The Democratic Party held a policy meeting and debate on the 24th, and had a heated debate over whether or not to postpone the gold investment tax scheduled to be implemented in January next year.
Representatives Kim Hyun-jung, Lee So-young, and Lee Yeon-hee, who participated in the debate as part of the “Golden Investment Tax Delay” team, argued that “the introduction of the gold investment tax could cause the capital market to shrink.” On the other hand, Representatives Kim Young-hwan, Kim Seong-hwan, and Lee Kang-il, who participated as part of the “Golden Investment Tax Implementation” team, argued that “the introduction of the gold investment tax could actually increase market transparency by increasing market trust and predictability.”
Rep. Kim Young-hwan sparked controversy when he refuted the claim that “If this continues, the Korean stock market will go down,” saying, “If you believe that it will go down, why don’t you invest in inverse or buy futures put options?” Inverse is an investment product that generates profits when stock prices fall. In response, online stock communities and other places criticized, “What country in the world would tell a member of the National Assembly to make money by betting on a decline in their country’s stock market?” People Power Party leader Han Dong-hoon also criticized, “Is the Democratic Party suggesting that we invest in inverse in South Korea?” The same party’s spokesperson Park Sang-soo also criticized, “How is this different from the logic of pro-Japanese groups who said, ‘Joseon is ruined, so go to Japan,’ or ‘If Joseon seems like it’s going to go down, collaborate with Japan?’” As the controversy spread, Rep. Kim’s side issued a press release explaining, “I was responding sarcastically, and the claim that I recommended inverse investment is false.”
The Democratic Party leadership plans to collect opinions within the party based on the discussion at the debate and decide on a final position as the party’s platform. As the party leadership, including Representative Lee Jae-myung, has reportedly decided on a “deferral,” and the Office of the President is also aiming to defer the gold investment tax, discussions on deferring the gold investment tax at the end of the year are expected to gain momentum depending on the Democratic Party’s final decision. Representative Han also proposed in a meeting with Representative Lee on the 1st of this month, “At least defer the implementation until next year and continue discussions.” A Democratic Party floor official said, “If we decide on a deferral as the final party platform, we will be able to find common ground with the government and the ruling party.”
The Democratic Party plans to use the discussion on the gold investment tax as a springboard to speed up the revision of the Commercial Act. The party’s policy committee released a statement after the debate, saying, “We will pursue the revision of the Commercial Act and the five major Korea Boost Up projects as a party principle.” The projects include the duty of loyalty to shareholders by directors and the separate election of auditors.
Reporter Seungwoo Lee [email protected]
-
- great
- 0dog
-
- I’m sad
- 0dog
-
- I’m angry
- 0dog
-
- I recommend it
- dog
Hot news right now
2024-09-25 14:08:31