[상담해DREAM] Must-know tax information for business operators
Entrepreneur B
Is planning to operate a business in Korea and would
like to know basic information on taxes that
business operators should be aware of.
All information on taxes can be found on two websites
The ‘NTS’ website provides tax-related info
& collects taxes while the issuance of tax invoices, tax returns,
tax payments & issuance of various certificates can be conducted
on the Hometax website.
How to use the Hometax website
Users must first sign up for a membership, which requires
a public certificate of authentication.
There are two options to get ‘a public certificate of authentication’ issued.
When using internet banking as a corporate customer,get the certificate for digital tax invoices at the public internet certificate center
on the website of the applicable bank.
When not using corporate internet banking,
visit a bank to apply for corporate internet banking service
with required documents to issue the certificate.
Essential basic tax information for business operators
Although there are various types of taxes, the most
basic taxes in operating a business include value-added tax,
global income tax and corporate tax
Types of taxes
Value-added tax (VAT) Tax placed on the value added during the process of business
operation activities and is levied on all goods and services
General income tax Tax placed on incomes produced by business activities
in the previous year
Corporate tax Tax placed on net profits after deducting costs and
expenses from sales. A corporate tax rate is a flat rate
and different depending on the income in each business year