TWO YEAR TAX EXEMPTION
Documents you need: Residency Certificate (Original copy)
Which countries are Eligible for Korean Tax Exemption?
Citizens of the following countries are eligible to not pay income tax in Korea by providing proof of a Residency Certificate
- United States
- United Kingdom
- South Africa
- Australia
- New Zealand
How Can I Apply for a Residency Certificate?
You will need to contact your country's appropriate governing tax office.
- US Citizens: IRS Official Website (Form 6166 - Certification of U.S Tax Residency)
- UK Citizens: HMRC Official Website (Tax on Foreign Income)
- SA Citizens: SARS Official Website (International Tax for Individuals)
- AUS Citizens: ATO Official Website (International Tax for Individuals)
- NZ Citizens: IRD Official Website (Tax Residency and Status)
How Do I Submit My Residency Certificate to Korea?
To obtain tax exemption while in South Korea, teachers will need to submit their Residency Certificate to their school's administrative office at the beginning of the contract (before the first salary is paid). The person in charge of taxation will then submit to the appropriate governing tax office. It is good to make a copy of the original for yourself!
*For Elementary/Middle school : City Office of Education (not Province office of Edu.)
*For High School : Your administration office
IMPORTANT!
Each country has different rules and regulations on taxation. We cannot provide any detailed information about taxes. If you have any inquire, Please contact to relevant facility for your request. (FOR KOREA: 1588-0560)
IMPORTANT TAX RESOURCES
- National Tax Service (NTS) : https://www.nts.go.kr/english/main.do
- English Tax Helpline: 1588-0560
Jeollabukdo Tax Offices (copy and search on the map and find the closest one)
- Jeonju : 전주세무서 / 북전주세무서
- Iksan : 익산세무서 김제지서
- JeongEup : 정읍세무서
- Gunsan : 군산세무서
- Namwon : 남원세무서
- Jin An : 북전주세무서 진안지서
- Muju : 북전주세무서 무주지서
Claiming Tax Credit for Monthly Rent
Please check with your local office admin officer if your rent has been/will be calculated into tax already. This is to avoid duplicated deduction and avoid any penalty.
This is only applicable to those on the housing allowance who pay their monthly rent themselves. Foreigners are not deemed householders in Korea and are therefore not eligible for tax credit for monthly rent. In order to get around this and claim deductions for monthly rent, you will need to report your rent on the tax portal under cash receipts.This process is only available in Korean. Take a look at the following video which will take you through the steps of doing this
NEED HELP FOR A YEAR-END TAX SETTLEMENT?
The employer will do the tax settlement for you. However, If you would like to provide your other expenses document for the tax calculation, You must receive your documents from "HOMETAX"
Then provide those documents to a person in charge of your wage.
- Help desk for foreigners (phone), on-line consulting
https://www.nts.go.kr/english/main.do > Help Desk > Q&A
1588-0560 (English only) - Easy Guide for Foreigners’ Year-End Tax Settlement
https://www.nts.go.kr/english/main.do > Resources > Publication > Easy Guide for Foreigners' Year-end Tax Settlement - Automatic calculation program for year-end tax settlement (English)
https://www.nts.go.kr/english/main.do > Help Desk > Quick Viewer Service > Automatic Calculation Service for Year-end Tax Settlement - Foreign-language manual for year-end tax settlement
https://www.nts.go.kr/english/main.do > Resources > Publication > 2020 Year-End Tax Settlement Manual for Foreigners (Korean, English, Chinese, Vietnamese) - National Tax Service's YouTube Channel
The year-end tax settlement for foreign workers
https://www.youtube.com/user/ntskorea
Guide for Foreigners’ Year-end Tax Settlement
Providing additional statements for your personal expenses for a tax calulation (For tax deduction)
A guide for how to use hometax to get the statement
How to log-in hometax without registering
Recommend to register when you can it is easy for your income paperwork