- South Korea will increase property holding taxes for nonresident single-homeowners starting in twenty twenty-seven.
- The tax burden for homes over two billion won may rise sevenfold by 2028.
- U.S. policy shifts include higher immigration filing fees and stricter public charge regulations taking effect in 2026.
South Korea’s Ministry of Finance and Economy announced a tax plan Monday that will raise the holding-tax burden for nonresident single-homeowners beginning in 2027. The proposal targets properties above a market-value threshold of 2 billion Korean won.
The Fourfold Tax Hike applies to owners who hold a home but do not live there. Their tax burden will rise fourfold in 2027 and could reach seven times the current level by 2028.
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The measure concerns 2 Billion+ Homes, with the threshold equivalent to about $1.5 million. It is part of the ministry’s “2026 Tax Reform Plan,” announced August 3, 2026.
South Korea plans to remove a long-term ownership deduction for nonresident owners. The replacement would calculate the deduction only from the period an owner actually lived in the property.
The policy is separate from recent U.S. immigration and tax changes. No U.S. federal policy in the material imposes a fourfold tax increase on homes.
South Korea ties the deduction to time spent living in the home
The Comprehensive Real Estate Holding Tax applies differently under the proposed change to owners who live in their properties and those who do not. Nonresident single-homeowners would lose the Long-Term Holding Special Deduction, which currently rewards the length of ownership.
The new approach would instead measure actual residency periods. An owner could therefore hold a property for years without receiving the same deduction available to someone who lived there.
The first increase begins in 2027. The planned burden could rise to seven times the current level in 2028, according to the policy details released by the ministry.
| Measure | Policy detail | Timing |
|---|---|---|
| Property threshold | More than 2 billion Korean won, about $1.5 million | Under the 2026 Tax Reform Plan |
| Nonresident owner tax burden | Fourfold increase | Beginning in 2027 |
| Potential later increase | Up to seven times the current level | By 2028 |
| Long-term deduction | Replaced by a deduction based on actual residency | Under the reform |
The reform’s target is ownership without residence, not every foreign homeowner. The distinction centers on whether the owner occupies the property.
U.S. immigration rules are changing on separate tracks
The U.S. Department of Homeland Security issued a final rule July 16, 2026, rescinding the 2022 public charge regulation. The rule is scheduled to take effect September 18, 2026.
Under the new approach, U.S. Citizenship and Immigration Services officers can weigh a wider range of factors case by case when deciding whether an applicant could become a public charge. The stated purpose is to assess whether noncitizens can remain financially self-reliant.
Zach Kahler, a USCIS spokesperson, said the administration was focused on limiting public-benefit dependence and protecting taxpayers.
“The Trump administration is upholding the rule of law and protecting American taxpayers from subsidizing aliens who may become dependent on public benefits. USCIS is committed to safeguarding the safety, security, and financial well-being of Americans.”
The agency also faces a separate change for some temporary visa holders. On July 31, 2026, DHS published a final rule eliminating “Duration of Status” for F, J, and I visa holders.
The rule replaces open-ended stays tied to a program or activity with a fixed four-year period. People who need more time must file extensions and provide biometrics. The change takes effect September 15, 2026.
U.S. filing costs rise while the SALT cap expands
The One Big Beautiful Bill Act has also driven U.S. immigration fee changes. Most USCIS filing fees are scheduled to increase starting January 1, 2026, under an inflation-based adjustment described as mandated by the law.
Naturalization applicants face a proposed increase of 75–80% for Form N-400. The paper-filing fee could reach $1,330, while most fee waivers have been eliminated.
Those costs affect immigration filings rather than the property-holding tax imposed by South Korea. Owning a U.S. home does not, by itself, convert the South Korean measure into a U.S. federal tax rule.
A separate U.S. change expands a deduction for some resident homeowners. The State and Local Tax deduction cap rises from $10,000 to $40,000 for households earning under $500,000.
That increase helps eligible taxpayers in high-tax states, but it does not typically apply to foreign owners who are not U.S. tax residents. The change therefore moves in the opposite direction from South Korea’s proposal: it expands a potential U.S. deduction while South Korea increases the holding-tax burden for a defined class of nonresident owners.
The U.S. measures have different effective dates. The public-charge rule begins September 18, 2026, the visa-duration rule begins September 15, 2026, and the USCIS fee adjustment begins January 1, 2026. South Korea’s property-tax increase begins in 2027, with a possible further rise by 2028.
This article is for informational purposes only and does not constitute tax advice. Consult a qualified tax professional or CPA about your specific situation.
