139,909 Seohak Ants who earned more than 2.5 million won last year… 18 times in 4 years
Gains from transfer 37.9 billion won → 2.9264 trillion won… Capital gains per capita are declining
□ Status of foreign stock capital gains tax report for the past 5 years (person, 100 million won)
Number of people reported
gain on transfer
1Per capita capital gains
3891Ten thousand won
2373Ten thousand won
2669Ten thousand won
2375Ten thousand won
2092Ten thousand won
Last year, it was found that 140,000 private ants made a profit of 2.5 million won or more from investing in overseas stocks and filed a tax return. This is an 18-fold increase from 7,913 in 2016.
During the same period, the gains they earned from transfers also increased tenfold from 37.9 billion won to 3 trillion won.
According to the data on the status of foreign stock capital gains tax reports for the past five years, which was submitted by National Tax Service on the 4th by Rep. Koh Yong-jin (and the Democratic Party), there were 139,909 Seohak ants who reported foreign stock capital gains tax for 2020 in May of last year. This is an increase of 4.1 times from 33,779 in 2019.
Their gains from transfers amounted to 2.9264 trillion won. It increased by 2.1 trillion won from 82.2 billion won a year ago. This is believed to be due to an increase in the number of Seohak ants jumping into overseas stock investment and a sharp rebound in the stock price, which plummeted during the COVID-19 outbreak.
However, the transfer gains per person, which divided the transfer gains by the number of reported persons, showed a decreasing trend. The average number seems to have decreased due to the sharp increase in the number of people reporting transfer tax. For the past five years, the per capita capital gains were 38.91 million won in 2016, 23.73 million won in 2017, 26.69 million won in 2018, 23.75 million won in 2019, and 20.92 million won in 2020.
Rep. Koh Yong-jin estimated that he would have paid 3.68 million won in transfer tax per person, a total of 500 billion won, because he was charged 20% of capital gains tax after deducting 2.5 million won from the annual transfer gains last year. This is an increase of 360 billion won from the 140 billion won level in 2019.
Foreign stock capital gains tax is not counted separately, as losses and gains from domestic stocks and foreign stocks are reported collectively from 2020.
On the other hand, foreign stock investment is different from domestic stock investment because there is no transaction tax, which pays capital gains tax on profits earned from buying and selling. After adding up the gains and losses of investment stocks, if the trading profit exceeds 2.5 million won, it is subject to taxation.
On the other hand, domestic stocks do not pay transfer tax unless they are a major shareholder (holding more than 1 billion won per stock).
Rep. Koh Yong-jin said, “Recently, there have been a lot of Seohak ants who directly invest in overseas stocks, and it seems that there were many investors who made high profits thanks to the boom in US stocks during Corona 19.”
He also argued that “US stocks have to pay transfer tax, but the fact that there is no transaction tax is an advantage in terms of investment.”