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Originally published by The Standard Business
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July 6, 2026
4h ago

South Korea to use AI tax windfall to fund public projects

South Korea to use AI tax windfall to fund public projects

South Korea's government plans to use a windfall in tax income from artificial intelligence chipmakers to set up a fund for public infrastructure projects, the presidential office said...

✨ Key Highlights

South Korea plans to allocate a significant tax windfall from booming artificial intelligence chipmakers to a new fund for public infrastructure projects.

  • The fund will support large-scale projects focused on AI and the semiconductor industry, aiming to reduce inequality and assist young people with housing, startups, and employment.
  • Key players include Samsung Electronics and SK hynix, whose record profits have driven the surge in government tax revenues.
  • The initiative comes amid intense debate on how to best utilize the excess tax revenue, with suggestions ranging from supporting startups to expanding basic income programs.

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