Seoul: South Korea's tax revenue increased by 37.9 trillion won (US$26.3 billion) from a year earlier during the first 11 months of this year on improved corporate earnings and rising income tax, data showed Wednesday. The government collected 353.6 trillion won of taxes over the January-November period, up 12 percent from the same period last year, according to the data from the Ministry of Economy and Finance.
According to Yonhap News Agency, the increase was driven by rising corporate tax collection, which jumped 22.2 trillion won to 82.4 trillion as local businesses reported stronger earnings in 2024 and the first half of this year. The ministry also pointed to a rise in corporate interest and dividend income.
The amount of income tax collected went up by 12.3 trillion won over the cited period to 121.5 trillion won on an expansion of performance-based bonuses. A surge in the capital gains tax, driven by the strong performance of overseas stock markets, also contributed to the rise.
In contrast, the amount of value-added tax went down by 500 billion won and tax revenue from securities transactions fell by 1.4 trillion won due to lower securities transaction tax rates.