ID :
190601
Thu, 06/23/2011 - 09:57
Auther :
Shortlink :
https://oananews.org//node/190601
The shortlink copeid
Biz body airs opposition to repeal of tax cut plan
SEOUL, June 23 (Yonhap) -- A leading South Korean business organization called on the ruling party Thursday to scrap its move to repeal a government tax cut bill, saying it could promote corporate investment and international competitiveness.
The governing Grand National Party (GNP) is pushing to kill the bill, which calls for lowering taxes for companies and wealthy people, in a parliamentary session in September. The Lee Myung-bak administration plans to implement the tax cut program next year.
"Reducing taxes is a global trend that promotes investment and prevents capital outflow," the Korea Chamber of Commerce and Industry (KCCI) said in a statement. "South Korea should maintain the tax reduction trend to raise companies' competitiveness in the world."
The statement came at a meeting of KCCI Chairman Sohn Kyung-shik and the heads of the KCCI's 71 chapters across the nation, which was held in Gumi, some 261 kilometers south of Seoul.
The KCCI stressed in the statement that the government should support companies by reducing corporate and income taxes and extending the temporary investment tax deduction plan.
"South Korea's taxation system that imposes the world's highest inheritance taxes discourages businesspeople and will even cause tax evasion," it said.
The chamber also said small and medium enterprises (SMEs) and large conglomerates are business partners and should cooperate in contributing to economic growth.
"Excessively criticizing conglomerates may cause conflict in our society and is not helpful," it said. "Large companies should pay attention to settle a culture of coexistence, and at the same time, SMEs should do their best to develop their own competitiveness."
The KCCI also demanded that the government ease regulations and give financial support to the tourism, education and medical industries in order to boost the domestic economy and foster the industries as new growth engines.
"The government should carry out policies that respect the market economy principle and guarantee free competition," it said. "We hope that the government vitalizes and encourages companies."
brk@yna.co.kr
The governing Grand National Party (GNP) is pushing to kill the bill, which calls for lowering taxes for companies and wealthy people, in a parliamentary session in September. The Lee Myung-bak administration plans to implement the tax cut program next year.
"Reducing taxes is a global trend that promotes investment and prevents capital outflow," the Korea Chamber of Commerce and Industry (KCCI) said in a statement. "South Korea should maintain the tax reduction trend to raise companies' competitiveness in the world."
The statement came at a meeting of KCCI Chairman Sohn Kyung-shik and the heads of the KCCI's 71 chapters across the nation, which was held in Gumi, some 261 kilometers south of Seoul.
The KCCI stressed in the statement that the government should support companies by reducing corporate and income taxes and extending the temporary investment tax deduction plan.
"South Korea's taxation system that imposes the world's highest inheritance taxes discourages businesspeople and will even cause tax evasion," it said.
The chamber also said small and medium enterprises (SMEs) and large conglomerates are business partners and should cooperate in contributing to economic growth.
"Excessively criticizing conglomerates may cause conflict in our society and is not helpful," it said. "Large companies should pay attention to settle a culture of coexistence, and at the same time, SMEs should do their best to develop their own competitiveness."
The KCCI also demanded that the government ease regulations and give financial support to the tourism, education and medical industries in order to boost the domestic economy and foster the industries as new growth engines.
"The government should carry out policies that respect the market economy principle and guarantee free competition," it said. "We hope that the government vitalizes and encourages companies."
brk@yna.co.kr
