The year-end settlement schedule and procedures for foreign workers are the same as those of Koreans

Procedures

-Company registers the list of targets for year-end tax settlement simplification data on Hometax by January 10th

-By the 15th, simplified data of workers who agreed to provide data will be provided collectively

*Workers of companies that do not use the batch service receive data from Hometax and submit it to the company

Special Taxation System 「for Foreigners」 Main contents

1. Foreign workers can also deduct housing income

-If you are a domestic resident with a total salary of less than 70 million won or a spouse of a homeless household head, 40% of the amount paid for last year's housing savings (up to 3 million won per year) can be deducted

2. a 50% reduction in income tax on earned income for 10 years

-Provide technology under the Engineering Technology Introduction Agreement

-Experience in overseas research and development as a bachelor's degree or higher, such as science and engineering

-Income tax reduction for excellent overseas talent under the Special Act on Advanced Industrial Talent Innovation (from earned income received after February 28, 2025)

*In the tax year in which the first labor provision date in Korea belongs, one of 19% of the single tax rate for 20 years and the basic tax rates of comprehensive income tax are selected and applied

3. Native-speaking teachers from countries with a teacher exemption clause in the tax treaty are exempt from income tax

 
Inquiries

Check the year-end settlement guidebook (English), manual (English, Chinese, Vietnamese) posted on the NTS English site

Individual consultation is available for foreigners only English counseling phone number(1588-0560)