Kim Kyung-soo Candidate: "Tax Cuts Alone Cannot Overcome the Crisis," Suggests the Necessity of Tax Increases

Kim Kyung-soo, a presidential candidate from the Democratic Party of Korea, emphasized the need for tax increases and chose a differentiation strategy against candidate Lee Jae-myung, who has prioritized tax cuts.

During a press conference on economic pledges held at the National Assembly on the 16th, Kim criticized, "In an era where we need to turn crises into opportunities and redesign the market, politics is obsessed with a 'tax cut competition.' Such an attitude cannot overcome the crisis."

In particular, Kim stated, "To pursue an active fiscal strategy in the era of national investment, we need to raise the tax burden rate, which has dropped to the 17% range, to over 22%," adding that "even then, it would not reach the OECD average tax burden rate of 25%."

"To pursue an active fiscal strategy in the era of national investment, we need to raise the tax burden rate, which has dropped to the 17% range, to over 22%."

However, he emphasized, "Above all, we must strengthen the transparency of government finances and enhance efficiency."

Kim claimed, "The tax cut policy pursued by the Yoon Seok-yeol administration must be immediately halted," and in response to a journalist's inquiry, "Are you suggesting tax increases?" he replied, "If necessary, we should discuss tax increases. A self-innovation of the government that can discuss tax increases is needed first."

"If necessary, we should discuss tax increases. A self-innovation of the government that can discuss tax increases is needed first."

Proposing Investment Blueprints for Future Industries… 100 Trillion Won for AI, Expansion of Green Industries

On this day, Kim also presented a blueprint for concentrating investments in national strategic areas, such as artificial intelligence (AI) and green industries.

He announced plans to allocate 100 trillion won to the AI industry and establish a 50 trillion won national strategic technology fund.

Additionally, he outlined a specific plan to increase the budget for green industries, currently at 10 trillion won in 2025, by 1 trillion won each year, and to attract 35 trillion won in private investment to achieve an annual scale of 50 trillion won in green investments after 2030.

Kim's proposal for a discussion on tax increases stands in stark contrast to Lee Jae-myung's announcement on the same day of a 'Second Residence for Citizens' concept that centers around tax exemptions for households with two properties.

Lee has expressed since last year's party convention that "It is not correct to unconditionally defend financial investment taxes or comprehensive real estate taxes," and in November of the same year, he showed support for abolishing the financial investment tax.

Kim Kyung-soo's recent statements are likely to highlight the differences in economic policies among candidates in the Democratic Party presidential primary. In particular, active discussions among candidates regarding fiscal soundness and funding for future industrial investments are anticipated.

Image source: Kim Kyung-soo, a candidate for the Democratic Party's presidential candidacy, announces economic pledges at the National Assembly press center in Yeouido, Seoul, on the morning of the 16th. 2025.4.16/News1, Kim Kyung-soo, after meeting former President Moon Jae-in on the 14th, following his presidential candidacy announcement / News1, Lee Jae-myung, Kim Kyung-soo, and Kim Dong-yeon, candidates for the Democratic Party's presidential candidacy, holding hands for a commemorative photo after signing a pledge for fair elections at the National Assembly in Yeouido, Seoul, on the 16th. 2025.4.16/News1