Tax revenue spikes 19 percent in May on higher income, bullish stock market

Korea’s tax revenue rose 19 percent in May as stronger income growth, stock market gains and improved corporate earnings lifted collections.

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A screen displays the rising Kospi index at Hana Bank's dealing room in central Seoul on June 30.

Korea's tax revenue shot up nearly 19 percent in May from a year earlier due to higher incomes and the recent bullish run in the stock market, data showed Tuesday.

The government collected 35.8 trillion won ($23.2 billion) in taxes last month, compared with 30.1 trillion won posted a year earlier, according to the Ministry of Finance and Economy.

The finance ministry attributed the sharp increase to higher income tax collections, which totaled 22 trillion won in May, up 16.5 percent from a year earlier, following gains from overseas securities and property transactions.

Korea also collected 1.3 trillion won in securities transaction tax in May, soaring from just 300 billion won tallied last year.

Corporate tax revenue jumped 9.6 percent on year to 7.6 trillion won in May, amid improved earnings reports.

For the January to May period, tax revenue came to 199.9 trillion won, up 16 percent from a year earlier.


Yonhap