Politics · South Korea · 8 hrs ago
South Korean ministries oppose excluding hotels and hospitals from inheritance tax relief
South Korea plans to remove tourist hotels and hospitals from a business inheritance tax deduction.
The deduction lets qualifying small and medium-sized businesses reduce the taxable value of inherited assets when a family business is passed on.
The government’s proposed changes narrow eligibility to 727 detailed industry categories and also exclude pharmacies.
The tourism ministry says hotels should not be treated like property-holding businesses, while the health ministry wants an exception for hospitals providing essential care.
Both ministries warn that excluding these businesses could threaten jobs, business continuity and, for hospitals, local essential medical services.
Lawmakers from both major parties have proposed bills to include hospitals and tourist hotels in the scheme.
The proposals are being considered during the parliamentary process, and the final eligibility rules have not been settled.
South Korea’s tourism and health ministries have objected to a government tax proposal that would exclude hotels and hospitals from inheritance tax relief for family businesses.
The government plan narrows eligibility to 727 categories of business and excludes tourism hotels, hospitals and pharmacies.
The Culture, Sports and Tourism Ministry said hotels should not be treated like businesses that hold real estate.
The Health and Welfare Ministry said exceptions are needed for medical institutions providing essential care.
Lawmakers from both parties have introduced bills to restore relief for hospitals and tourism hotels.
- Who
- South Korea’s Culture, Sports and Tourism Ministry and Health and Welfare Ministry oppose the exclusions.
- What
- The ministries want hotels and some hospitals to remain eligible for inheritance tax relief for family businesses.
- When
- The government has pursued the tax revision since August; the ministries’ positions were reported on November 9, 2026.
- Where
- South Korea.
- Why
- They say excluding the sectors could harm tourism and medical competitiveness, employment and essential regional services.
This story does not have two clearly opposing sides.
The government began pursuing a revision to exclude tourism hotels and hospitals from the relief.
The ministries’ positions and lawmakers’ proposed bills were reported.
Lawmakers from both parties introduced bills supporting inheritance tax relief for hospitals and tourism hotels.
- Eligible business categories under government plan
- 727
- Excluded sectors
- Tourism hotels, hospitals and pharmacies
- Ministries opposing exclusions
- Culture, Sports and Tourism; Health and Welfare
- Hospital relief bills
- Introduced by lawmakers Moon Jin-seok, Ahn Sang-hoon and Kim Tae-ho
- Hotel and hospital relief bill
- Introduced by Kim Sang-hoon
What people are saying
호텔업을 가업상속공제 적용 대상에서 제외한 것에 업계가 강한 유감을 표명한 데 대해 문체부도 동의하는 입장
숙박시설은 대규모 투자와 고용효과 유발 등 국내 산업과 고용시장에 미치는 파급효과가 크기에 가업상속을 통한 안정적 경영 지속이 필요하다
필수의료를 제공하는 의료기관에 대해서는 가업상속공제 제외에 예외를 둘 필요가 있다