Dividend Income Investment Strategies and Presidential Election Pledges

<Current taxation of dividend income>
Among various ways of managing money, stock dividend income is drawing attention.
In particular, the push for separate taxation of dividend income was mentioned in recent presidential election pledges, so it deserves a close look.
Currently in Korea, dividend income is taxed through withholding at 15.4% regardless of the amount.
However, if financial income exceeds 20,000,000 won, the excess amount is switched to comprehensive taxation.
<Problems with comprehensive taxation>
Once switched to comprehensive taxation, tax is paid according to the comprehensive tax rate, and the larger the excess amount, the higher the tax rate and thus the greater the tax burden.
If financial income exceeds 100 million won, a high comprehensive income tax rate of 35% or more applies.
As a result, high-net-worth individuals have found it difficult to actively invest in dividend stocks because of the tax burden.
That's because even when they receive dividends, most of it has to be paid in taxes.
<Expected effects of switching to separate taxation>
If the system switches to separate taxation in line with the election pledge, high-net-worth individuals are likely to reconsider dividend investing.
Separate taxation also has the advantage of keeping you off the list of comprehensive taxpayers. For this reason, if dividend stock investment increases, money is expected to flow into stocks with high dividend yields.
If the pledge is realized, dividend stocks will become more attractive, which could be good news for the domestic stock market.
<Promising stocks to invest in>
So which stocks are advantageous for receiving dividends?

Selection criteria
- Dividend payout ratio of 25% or more over the last 3 years
- DPS (dividends per share) maintained or increased over 3 years
<Representative companies meeting these criteria>
These include Hyundai Elevator, Hankook Shell Oil, K Car, Daishin Securities, Samsung Securities, Samsung Card, SK Telecom and KT&G.