MOEF Fiscal Policy Direction & Year-End Wage Tax Settlement Rules for Domestic and Foreign Workers
The Ministry of Economy and Finance (MOEF) and National Tax Service (NTS) outlined fiscal soundness targets alongside earned income tax settlement rules, including the 19% flat tax option for eligible foreign technical/professional workers and SME youth/foreigner income tax reductions.
📊 Key Verified Figures & Units
According to the Ministry of Economy and Finance (MOEF) and the National Tax Service (NTS), all wage and salary earners in South Korea—including foreign residents holding E-9, E-7, F-2, F-4, F-5, F-6, or H-2 visas—must complete the annual Year-End Tax Settlement (연말정산) through their employer in January–February for prior-year earned income.
Foreign employees registered as tax residents in Korea are eligible for the same general income deductions (National Pension, National Health Insurance, credit/check card spending, and housing rent tax credits for eligible non-homeowners) as Korean nationals.
All statutory tax calculations must be verified directly via the official NTS HomeTax portal (hometax.go.kr) or the NTS English Help Desk (1588-0560).
🔬 Statistical Methodology & Scope Context
Summarized from Ministry of Economy and Finance (MOEF) & National Tax Service (NTS) KOGL Type 1 tax guidance. Informational reference only; not individualized tax advice.