I. Introduction Taxation policy significantly influences the operational and financial strategies of corporations. For non-resident and foreign corporations in Korea, the taxation framework, particularly the withholding tax regime, demands acute attention. One major aspect of this regime is the beneficial ownership regulation, a global effort to curb tax evasion, money laundering, and illicit financing. II. … Continue reading Beneficial Ownership Regulation and Korean Withholding Tax
Korea’s Government Subsidy ‘Cash Grant’ for Foreign Investors
Introduction The global economic landscape is seeing a shift in focus as countries look to attract foreign investors, leveraging fiscal incentives as a lure to boost economic growth and prosperity. South Korea, recognized for its innovative technological scene and robust economy, is no exception. The government has taken significant steps in recent years to position … Continue reading Korea’s Government Subsidy ‘Cash Grant’ for Foreign Investors
NTS Sends Tax Guidance Letters to 95,000 Individuals – What Foreigners Living in Korea Need to Know
The National Tax Service (NTS) has announced the deadline for filing and paying the final income tax including capital gains tax for 2022 is May 31st 2023. Foreigners living in Korea should be aware of this deadline, as well as the fact that electronic support in Hometax or Sontax is not provided in English. It … Continue reading NTS Sends Tax Guidance Letters to 95,000 Individuals – What Foreigners Living in Korea Need to Know
One-Stop Korea Tax – 🇰🇷💰 Stress-Free Korean Income Tax Returns Made Easy! 💰🇰🇷
Click Here to start! Are you dreading the tax season? Worried about navigating the complex Korean income tax system? Worry no more! We're here to help with our hassle-free, English-friendly income tax return service for the 2022 tax year, due in May 2023. 💡Why Choose Us?💡 ✅ Fast and easy process: Simply input your information … Continue reading One-Stop Korea Tax – 🇰🇷💰 Stress-Free Korean Income Tax Returns Made Easy! 💰🇰🇷
Understanding Cash Receipt Obligations for Transactions paid with Cryptocurrency
As a foreign investor in Korea, understanding the complex tax regulations is crucial for smooth operations. One area that has been a subject of recent clarification is the issuance of cash receipts for transactions involving cryptocurrencies. This article provides an overview of the tax implications and obligations surrounding cryptocurrencies for businesses operating in Korea.The National … Continue reading Understanding Cash Receipt Obligations for Transactions paid with Cryptocurrency
The ‘K-Chips Act’: A Boost to South Korea’s Semiconductor Industry and Implications for Foreign Investors
South Korea's National Assembly has passed the 'K-Chips Act' (Amendment to the Restriction of Special Taxation Act) to bolster the domestic semiconductor industry. The K-Chips Act aims to expand the tax credit rate for companies investing in facilities related to strategic national industries, such as semiconductors, secondary batteries, vaccines, displays, hydrogen, electric vehicles, and autonomous … Continue reading The ‘K-Chips Act’: A Boost to South Korea’s Semiconductor Industry and Implications for Foreign Investors
South Korea’s March Tax Revenue Down by KRW 24 Trillion
If you're a foreign business owner operating in South Korea or considering investing in the country, it's essential to be aware of the latest tax developments. South Korea's national tax revenue for March 2023 has experienced a significant decrease compared to the previous year. This article will explore the reasons behind the decline and its … Continue reading South Korea’s March Tax Revenue Down by KRW 24 Trillion
2 Months before Korean Crypto Taxation!
Controversy over Cryptocurrency Acquisition Cost Cryptocurrency capital gains income = Sales proceeds - acquisition cost Starting from January 2022, capital gains exceeding KRW 2.5 mil from cryptocurrency is subject to 22% personal income tax. As definition of "acquisition cost" is not clear, several draft tax revision bill has been submitted by congressmen for delay of … Continue reading 2 Months before Korean Crypto Taxation!
Investment Type in Korea Comparison: Corporation vs. Branch
Foreign-Invested CompanyDomestic Branch ofa Foreign CompanyGoverning lawForeign Investment Promotion ActForeign Exchange Transactions ActCorporation typeDomestic corporationForeign corporationIdentityThe foreign investor andforeign-invested company are separateentities (independent accounting &settlement).The head office and branch are asingle entity (consolidatedaccounting & settlement).Delegated agency toprocess notificationsand grant permitsInvest KOREA, KOTRA's overseas offices(investment KBCs), head office andbranches of foreign exchange banks inKorea (notification only)Branches … Continue reading Investment Type in Korea Comparison: Corporation vs. Branch
How to start business in Korea?
Want to explore options for investment in Korea? Please see the followings. There are four options for foreigners to start business in Korea: a foreign corporation or a foreign individual could establish a local corporation or enter in the form of an individual business. Foreign corporation could also establish a domestic branch or office.Among them, … Continue reading How to start business in Korea?
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