Controversy Brews Over South Korean Capital Gains Tax Proposal

South Korean President Lee Jae Myung announced he would leave a contentious capital gains tax revision up to parliament. Initially proposed to boost revenue from stock investors, the move has drawn criticism. The KOSPI index experienced volatility following Lee's comments, highlighting investor uncertainty.

South Korean President Lee Jae Myung revealed that he no longer finds it necessary to push through a contentious capital gains tax revision, opting to leave the decision to parliament.

The proposal, initially aimed at increasing tax revenue from stock investors by lowering the 'large shareholders' threshold, has faced public opposition.

Market reactions were swift, as the initial gains in the KOSPI index reversed into losses following Lee's announcement, underscoring the uncertainty among investors.

(With inputs from agencies.)