South Korea's finance ministry now expects 2026 national tax revenue of KRW 478.6trn, about USD 353bn, up 28% from last year and above KRW 400trn for the first time, roughly 20% higher than the previous record set in 2022. The additional receipts come mainly from semiconductor profits, special dividends and stock trading, meaning the current AI boom is rewriting the country's fiscal accounts. The windfall underpins the Lee Jae-myung government's investment plans; the 2027 budget proposal unveiled this month reaches a record KRW 821trn, focused on AI and chip infrastructure.
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AI chip boom lifts South Korea's tax revenue to a record high
South Korea's finance ministry expects 2026 national tax revenue of KRW 478.6trn (about USD 353bn), up 28% year on year and KRW 63.2trn above the supplementary budget estimate. It marks the first time annual tax revenue exceeds KRW 400trn, about 21% above the 2022 record. Chip profits, special dividends and stock trading outperformed expectations, with the AI boom reshaping the country's public finances. The government's 2027 budget proposal of KRW 821trn focuses on AI and chip infrastructure.
2026-10-02