In this blog post, we will explore the important aspects of bookkeeping and the submission of a statement of payment in relation to income tax in Korea. Keeping of and Entry in Books (Article 160, Income Tax Act) As per the Income Tax Act in Korea, it is mandatory for all business operators to maintain supporting documents to calculate the amount of taxable income. These supporting documents sho..

In this blog post, we will delve into the concept of necessary expenses for business income in Korea. Understanding these expenses is crucial for businesses to accurately compute their taxable income. Let's explore the scope and categories of necessary expenses for business income. Scope of Necessary Expense Necessary expenses for business income encompass the total amount of expenditures incurr..

For revenue from lease deposits and similar amounts, a portion known as "deemed rent" is included in the gross revenue. However, there are exceptions for housing leases with certain conditions. If a taxpayer owns three or more houses with the sum of their deposits exceeding 300 million won, the deemed rental income is included in the gross revenue. Deemed rental income where income is calculated..

We will delve into the details of income tax in Korea, focusing on the calculation of the tax base (taxable income) and different types of income. Understanding these concepts is crucial for individuals and businesses operating in Korea. So, let's get started! Calculation of Tax Base (Taxable Income) Taxable income, also known as the tax base, is an essential factor in determining the amount of ..