The government has announced a revision to the tax code that increases the tax burden of multiple home owners while expanding tax benefits to the underprivileged.

The Finance Ministry on Monday held a meeting of a deliberation committee aimed at advancing the tax code, and approved a revised tax plan for this year.

The tax revision bill will be submitted to the National Assembly on Tuesday for parliamentary discussions with the goal to execute the plan from next year.

Finance Minister Kim Dong-yeon earlier said the revision centers on improving income distribution and boosting fairness in taxation. 

The plan calls for expanding beneficiaries of the earned income tax credit scheme, which refunds taxes to low-income families. Over three-point-three million households will receive three-point-eight trillion won as part of the tax scheme next year.

The government will also adjust the comprehensive real estate tax system in a way to raise the tax burden on owners of high value houses and multiple homes and increase the taxable value of a property.

Tax benefits will also be extended to companies hiring young people and to businesses located in areas undergoing corporate restructuring.

The government expects the tax revision will increase tax for high income earners and lower it for the low and middle class and small firms.

It estimates the plan to generate the effect of a two-point-five trillion won reduction in tax revenue over the next five years if the parliament approves the revision without changes.