Tax updates:
- Specification of regulations related to transaction details of employee stock-based compensation and similar instruments.
- Expansion of the scope of deductible personnel expenses for expatriate employee to overseas subsidiaries.
- Addition of requirement to attach a dedicated license plate for deducting business use cars
- New regulation for the mandatory registration of a business place by the tax authority, exercising its authority for foreign suppliers eligible for simplified VAT registration.
- Expansion of the VAT exemption scope for personal services.
- Broadening the exclusion criteria for special provisions concerning foreign engineers, foreign workers, and exceptional domestic personnel.
- Application of the special tax regime’s single tax rate for foreign workers: Tax exemption for the benefit of provided housing.
- Rationalization of the scope of labor costs eligible for R&D tax credits.
HR & Payroll updates:
- Changes in administrative interpretation of 52-hour workweek policy.
- Monthly income tax calculation method update
- Increase the non-taxable ceiling amount for childcare allowance and overseas labor income.
- Shorten the submission cycle of payment statement for other type income related to personal services.
- Amendment of employment and industrial accident insurance premium collection act.
Audit & accounting updates:
•Amendments to K-IFRS and K-GAAP
Please do not hesitate to contact us if you have any question.
Want to know more?
Julien Herveau Managing Partner of Forvis Mazars in Korea - Seoul
