(Sejong = News1) Reporter Lim Yong-woo = From now on, acquisition tax will be exempted for residential buildings obtained through rural housing improvement projects. The acquisition tax on farmland purchased by returning farmers within three years of their return will also be reduced by 50%.
The Ministry of Agriculture, Food and Rural Affairs (MAFRA) announced on the 29th that the "Revised Local Tax Act for the agricultural sector," which includes these details, will be implemented starting next January.
With this revision, residential buildings acquired through rural housing improvement projects will be exempt from acquisition tax, and the acquisition tax on farmland purchased by returning farmers within three years of their return will be reduced by 50%. Additionally, property tax on farmland provided as collateral for a farm pension will be exempt, and residents' tax on business establishments used directly by farmers and fishermen for farming and fishing will be exempt.
The Ministry of Agriculture, Food and Rural Affairs has eased the criteria for a returning farmer to qualify for a reduction in acquisition tax on farmland. The tax reduction will now be subject to clawback (추징) if the farmer's non-agricultural income exceeds 37 million won.
Yoon Won-seup, the Director-General of Agricultural Policy at the Ministry of Agriculture, Food and Rural Affairs, stated, "We hope that this extension of special local tax provisions for the agricultural sector will help improve residential environments in rural areas, revitalize rural communities by attracting urban residents, and contribute to the stable retirement of elderly farmers."
phlox@news1.kr