《TAIPEI TIMES 焦點》 KMT Taipei councilors criticize Ko over construction company tax cut
Chinese Nationalist Party (KMT) Taipei city councillors hold a press conference in Taipei yesterday to criticize Taipei Mayor Ko Wen-je for proposing a tax cut on Taipei properties. Photo: CNA
BROKEN PROMISE? Ko Wen-je said during his election campaign that he would endeavor to uphold ‘residential justice’ and the policy belies that pledge, the KMT said
By Sean Lin / Staff reporter
A property tax cut proposed by the Taipei City Government yesterday came under fire from the Chinese Nationalist Party (KMT) Taipei City Council caucus, with city councilors saying that the policy is aimed at benefiting construction companies.
The city government earlier this month proposed a tax cut that would reduce property taxes paid by construction companies from 3.6 percent of the estimated value of a property to 2 percent for each house they are selling.
Under a draft bylaw, the tax rate would apply for one year after a property is put on the market, after which it would be raised back up to 3.6 percent.
The 2 percent rate is lower than that for residents holding two properties — 2.4 percent — and much lower than the rate stipulated for people with three or more properties — 3.6 percent.
At a news conference, KMT Taipei City Councilor Chen Chung-wen (陳重文) criticized the policy, saying that it created double standards for construction companies and Taipei residents.
He said that Taipei Mayor Ko Wen-je (柯文哲) during his election campaign last year repeatedly told Taipei residents that he would endeavor to uphold “residential justice” for young people who cannot afford to purchase a house and the policy belies that pledge.
“The policy panders to building companies, but exploits ordinary residents. Ko should apologize to the young people who voted for him,” Chen said.
KMT Taipei City Councilor Lee Yan-hsiu (李彥秀) said the policy came as a shock to most people given Ko’s campaign promises.
She also said that the tax cut would result in a reduction of about NT$100 million (US$3.04 million) in the city government’s revenue.
“Ko is always trying cut expenses to free up more capital for the city government — for example, canceling the discounts people get when transferring between buses and the MRT, collecting parking fees and canceling subsidies for senior citizens on Double Ninth Day (重陽節) — but by proposing a tax cut for construction companies, I think that he has failed to see the wood for the trees,” Lee said.
The KMT caucus said that it would attempt block the bylaw when it is delivered to the city council for review.
Ko earlier yesterday said the policy was “pragmatic.”
He said that construction companies would be subject to the 2 percent tax rate for one year so that their financial burden could be reduced as they try to sell their stock of houses.
“Under the draft bylaw, the rate would be applied for one year. Some think that is too long. This can be discussed at the council,” Ko said.
He said that the property rates were originally introduced to deter people from stockpiling houses, but that he has discovered that state-run enterprises that want to purchase properties and rent them out to their employees are also required to pay the 3.6 percent tax rate, which he said is unfair.
新聞來源:TAIPEI TIMES