Main Opposition Leader Plans Tax Cuts as Campaign Pledge


By Lee Jin-woo
Staff Reporter



Park Geun-hye, chairwoman of the main opposition Grand National Party, speaks during a New Year press conference in Seoul, Thursday. /Korea Times


Rep. Park Geun-hye, chairwoman of the main opposition Grand National Party, pledged on Thursday her party will carry out massive tax cuts if it wins the next presidential election in 2007.
In a New Year press conference broadcast live across the country, Park expressed objections to the Roh Moo-hyun government’s possible move to raise taxes.

Park, the eldest daughter of the late President Park Chung-hee, did not deny the worsening social and economic polarization in South Korean society, but disagreed with the president’s ``big government’’ policies. She instead called for downsizing the government and its role.

The chairwoman argued job opportunities, the key to solving the socio-economic problem, should be created not by the government but by private enterprises.

She denounced possible tax hikes, which have been debated since Roh hinted at his intention to raise funds for expanding the social safety net and countering a rapidly aging society in his New Year address on Jan. 18.

In his press conference on Wednesday, Roh ruled out tax hikes, but the GNP leader criticized him for changing his words.

``The GNP and I would like to make it clear that we oppose the Roh administration’s intention to increase taxes,’’ Park said. ``The GNP will work out measures for massive tax cuts for the livelihood of middle and low-income families after winning the presidential election.’’

Park blamed the government, which she claimed should take responsibility for the ``economic downturn,’’ for placing heavy tax burdens on the public with an unrevealed intention to split society into haves and have-nots.

She pointed out that the government has wasted an additional 4 trillion won ($4 billion) by hiring some 40,000 more civil servants.

Park reaffirmed her firm stance on the contentious revision of the private school law.

She reiterated that the GNP will not return to the Assembly until the ruling Uri Party agrees to negotiate for revising the controversial amendment.

Since the governing party and the Democratic Labor Party (DLP) passed the bill last December, the conservative GNP has boycotted all parliamentary activities and staged street rallies to protest the passage.

School owners fear that the revision, which requires one-fourth of the board of directors at private schools to be elected from the nominees of teachers and parents, will enable unionized teachers to intervene in school management.

Park, however, said she does not want the street protests to drag on until local elections on May 31 and hopes a breakthrough could be made during a meeting of the floor leaders of the two parties.

New floor leaders of the two parties plan to go mountain hiking together on Monday to discuss ways to normalize the crippled Assembly, GNP officials said.

She also said the government should take a firm stance against North Korea’s alleged illicit activities, including counterfeiting U.S. bills, while stressing the importance of strengthening the alliance between South Korea and the United States.

``If North Korea has forged U.S. greenbacks, it is a criminal activity,’’ Park said in a remark contrary to Roh’s vague statement about the issue.

On Wednesday, Roh said, ``It’s too risky for me to make any direct comment or reach any conclusion on the issue as we need to ascertain the truth behind the North’s alleged illicit activity.’’

North Korea has refused to return to the six-party talks unless the U.S. lifts the financial sanctions it imposed over the North’s alleged illegal activities such as drug trafficking and money laundering.

Presidential spokesman Kim Man-soo denounced Park’s remarks, saying, ``I felt Park has not been able to really understand the reality of the deepening income gap between the rich and the poor. The measures she proposed to solve the problem were unrealistic.’’

Kim, however, added that he hopes the GNP will return to the Assembly soon to discuss pending issues.

things@koreatimes.co.kr