South Korea expects its national tax revenue to surge to an all-time high this year, highlighting the massive gains generated by the semiconductor industry and providing support for President Lee Jae-myung's ambitious investment plans.

According to data from South Korea's Ministry of Economy and Finance, the country's tax revenue is projected to reach 478.6 trillion won (approximately US$353 billion) in 2026, representing a year-on-year increase of 28%.

This figure would exceed estimates in this year's supplementary budget by 63.2 trillion won, an increase of 15.2%, driven by chip profits, special dividends, and stock trading revenues that surpassed expectations.

The forecast means South Korea's annual tax revenue will break through the 400 trillion won mark for the first time, coming in about 21% higher than the previous record set in 2022.

Compared with last year, tax revenue has risen by 104.7 trillion won, demonstrating that the artificial intelligence boom is reshaping South Korea's national finances and its export-oriented economy.