Korean Tax Blog

Can Foreigners Get Their Korean National Pension Back When Leaving Korea? “I paid into Korea’s National Pension while working here. Can I get that money back when I leave Korea?” For some foreign workers, the answer is yes. Foreigners who have contributed to Korea’s National Pension may be eligible to receive a Lump-sum Refund when leaving Korea, but eligibility is not the same for everyone. It can depend on factors such as nationality, international social security agreement

Do Foreign Workers Get Severance Pay in Korea? “I am a foreign worker in Korea. Can I receive severance pay when I leave my job?” Yes. Foreign workers may also be entitled to severance pay in Korea if they meet the legal requirements. Being a foreign national does not by itself exclude you from Korea’s severance pay protections. Who Can Receive Severance Pay? In general, severance pay may apply when an employee: Has worked continuously for at least one year Has an average sch

Do Foreigners Have to Pay Inheritance Tax in Korea? “I inherited property or money connected to Korea. Do I have to pay inheritance tax?” Foreigners can also become involved in Korean inheritance tax when they inherit money, real estate, stocks, or other assets connected to Korea. Whether Korean inheritance tax applies is not determined simply by nationality. The deceased person’s tax residency and the location of the inherited property are important factors. When Can Korean

Do Foreigners Have to Pay Gift Tax in Korea? “My family sent me money from overseas. Do I have to pay gift tax in Korea?” If you are a foreigner living in Korea, money or property received from family members may, in some cases, be subject to Korean gift tax. Being a foreigner does not automatically exempt you from gift tax. Whether tax applies can depend on factors such as your residency status, the type of property received, and your relationship with the person giving the

Can Foreign Employees Get Tax Benefits for Rent and Mortgage Interest in Korea? “I work in Korea and pay rent or mortgage interest. Can I get a tax benefit?” If you are a foreign employee working in Korea, you may be eligible for certain housing-related tax benefits when filing your year-end tax settlement. Two important benefits are monthly rent tax credits and mortgage interest income deductions. Monthly Rent Tax Credit Foreign employees who meet the requirements may be eli

Do Foreigners Working Remotely in Korea Have to Pay Korean Tax? “I work for a foreign company, but I live and work remotely from Korea. Do I have to pay Korean tax?” This is becoming an increasingly common question among foreigners living in Korea. The answer depends on factors such as your tax residency, where you perform your work, and the nature of your employment and income. Working for a Foreign Company Doesn't Automatically Mean No Korean Tax Some people assume that if

Korea’s Exit Tax: What Foreigners Leaving Korea Need to Know “I’m planning to leave Korea and move abroad. Will I have to pay tax on the stocks I own?” If you are a foreigner living and working in Korea and planning to move abroad, it is important to understand Korea’s Exit Tax before you leave. What Is Korea’s Exit Tax? Korea’s Exit Tax may apply to unrealized gains on certain stocks and other assets when a person who meets specific requirements leaves Korea. In simple terms

Korean Year-End Tax Settlement: What Foreign Employees Should Know If you work for a company in Korea, you may have heard the term “Year-End Tax Settlement” (연말정산). But what exactly is it, and do foreign employees have to do it? What Is Year-End Tax Settlement? Year-end tax settlement is the process of calculating your final income tax for the year based on your salary, deductions, and tax credits. Your employer withholds income tax from your monthly salary throughout the yea

How Much Income Tax Do Foreigners Pay in Korea in 2026? If you are a foreigner working in Korea, you may have wondered: “How much income tax do I have to pay in Korea?” One important tax rule for foreign employees in 2026 is Korea’s 19% flat income tax rate. The 19% Flat Tax Rate for Foreign Employees Certain foreign employees who meet the requirements can choose a 19% flat tax rate instead of Korea’s progressive income tax rates. This can be particularly beneficial for high-

Korea, an international business hub, offers a vibrant yet intricate banking system for non-residents and foreign companies. Navigating...