Multi-home owners who apply for land transaction permits by May 9, the day the capital gains tax surcharge moratorium expires, will be exempt from the surcharge, the government announced Thursday.
The decision follows a directive from President Lee Jae-myung, who proposed at the Cabinet meeting on January 6 that benefits should be extended to those who apply for land transaction permits by May 9.
The government announced through a joint press release from related ministries that it has prepared "supplementary measures for the expiration of the multi-home capital gains tax surcharge moratorium." The surcharge moratorium for homes in designated speculation zones owned by multi-home owners will end on May 9, 2026, as originally announced, but those who apply for land transaction permits by that date will be excluded from the surcharge.
The measure takes into account the reality that applications filed after mid-April face uncertain approval by early May, given the expected surge in permit applications, regional processing time differences, and the review period required by city, county, and district offices (15 business days).
Multi-home owners who apply for land transaction permits at city, county, or district offices by May 9, obtain approval, sign a sales contract, and complete the transfer within four or six months will not be subject to the capital gains tax surcharge. Transfers in the existing designated speculation zones (Seoul's Gangnam, Seocho, Songpa, and Yongsan districts) must be completed by September 9, within four months, while transfers in newly designated zones from October last year must be completed by November 9, within six months.
The Ministry of Economy and Finance and the Ministry of Land, Infrastructure and Transport will announce draft revisions to the Income Tax Act Enforcement Decree and the Real Estate Transaction Reporting Act Enforcement Decree for public comment, and plan to promulgate and implement them in April after Cabinet deliberation.