South Korea

Country South Korea
Currency KRW
EU Member State No
Standard VAT/GST rate 10%
Reduced VAT/GST rate 0%
VAT registration limit for established businesses No, there is no registration limit for the tax. The exemption from liability to pay VAT would be allowed to an individual enterprise whose turnover (including VAT) of the supply of goods or services in a calendar year is less than KRW 24 million.
VAT registration limit for non-established businesses N/A
VAT return filing periods Quarterly
Annual VAT returns N/A
Additional reporting requirements N/A
VAT recovery by non-established non-EU businesses Yes
Reverse Charge Yes
Fiscal representative required for non-EU businesses No
Statute of limitations The statute of limitations is generally five years from the statutory filing due date of the annual CIT return. However, the statute of limitations is extended further in the following cases:Seven years if a taxpayer does not file its tax base by the statutory due date.
Ten years if a taxpayer evades taxes by fraud or unjustifiable means.
15 years for fraud or unjustifiable means involving cross-border transactions. For this purpose, a ‘cross-border’ transaction means when a party or parties to the transaction include(s) non-resident(s) or foreign corporation(s) (excluding domestic business places of non-resident(s) or foreign corporation(s)).