Tax Revenue Tops 100 Trillion Won in Q1 for the First Time in Four Years, Driven by Retail Investors

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[Financial News] National tax revenue in the first quarter of this year topped 100 trillion won for the first time. Backed by improved corporate earnings and a record-setting stock market rally, tax revenue rose by more than 15 trillion won from a year earlier. In particular, securities transaction tax alone more than doubled to 2 trillion won. It was the first time in four years that quarterly tax revenue exceeded 100 trillion won, since the first quarter of 2022, when it reached 111.1 trillion won.
The Ministry of Economy and Finance (MOEF) said on the 30th that cumulative national tax revenue from January to March this year came to 108.8 trillion won, up 15.5 trillion won from a year earlier. This is the first time since 2022, when the stock market was booming after the COVID-19 pandemic, that tax revenue has exceeded 100 trillion won in the first quarter of the year.
Tax revenue collected in March alone reached 37.8 trillion won, up 5.5 trillion won from a year earlier.
Income tax, value-added tax and securities transaction tax drove the increase in national tax revenue.
As of the end of March, income tax had increased by 4.7 trillion won and value-added tax by 4.5 trillion won.
Kim Seong-su, Director of Tax Revenue Estimation at the Ministry of Economy and Finance, explained that "for income tax, wage income tax rose sharply as year-end bonuses in February and performance-based incentives at companies such as SK Hynix increased significantly," adding that "capital gains tax also rose as real estate transactions increased."
Value-added tax was boosted mainly by an increase in deferred payments and a decline in refunds.
Securities transaction tax came to 2.8 trillion won, up 234.6% from a year earlier. The surge was driven by a sharp rise in trading on the stock market, which hit record highs despite heightened volatility caused by the Middle East War. On a quarterly basis, it was the highest level in five years, since the first quarter of 2021, when it reached 3.1 trillion won.
In addition, the securities transaction tax rate was raised by 0.05 percentage points starting this year, further boosting revenue.
Looking at March alone, national tax revenue stood at 37.8 trillion won, up 5.5 trillion won from the same month a year earlier.
By tax category, income tax rose by 2.2 trillion won from a year earlier, leading the overall increase in tax revenue. The gain reflected higher wage income tax from expanded performance bonuses tied to improved corporate earnings, as well as a rebound in capital gains tax amid a recovery in home transactions.
In fact, home sales in January reached 61,400, up more than 60% from 38,300 a year earlier.
The stock market boom also made a major contribution to the increase in tax revenue.
As of February, trading value for listed stocks jumped about 179% from a year earlier to 1,183 trillion won, lifting March securities transaction tax revenue by 800 billion won. The Special Tax for Rural Development also rose by 1 trillion won, driven by higher KOSPI Composite Index trading value.
Corporate tax in March increased by 900 billion won from a year earlier, reflecting the recovery in corporate earnings.
This was driven by a 29.5% increase in operating profit for KOSPI Composite Index-listed companies, on a separate-company basis, from 105.8 trillion won in 2024 to 137 trillion won in 2025.
skjung@fnnews.com Jung Sang-gyun Reporter