Foreigner Income Tax Filing in Korea: Withholding & Comprehensive Return

Foreigner income tax filing in Korea: the one-line conclusion

If you are searching for foreigner income tax filing information, this guide covers the essentials. Foreign workers whose only income is salary already settled by year-end tax adjustment usually do not need a May comprehensive income tax return. However, side jobs, freelance work, multiple employers, income with no withholding, or planned departure (overseas relocation) can trigger a separate filing requirement. (National Tax Service)

1) What is withholding? “Tax taken in advance from your salary”

In Korea, withholding means that before you receive your income, the payer (your company, platform, or institution) deducts the tax and remits it to the National Tax Service. (National Tax Service)

One detail many people miss. For related context see our guide on residency choices for foreign workers.

• In addition to the “income tax” line on your payslip, a local income tax (personal local income tax) is added.
• The local income tax is generally 10% of the income tax amount (e.g., if income tax is 100,000 KRW, local income tax is 10,000 KRW). (National Tax Service)

Foreigner income tax filing also depends on the type of income. Withholding rates and rules differ by category — for example, freelancers in Korea typically have 3.3% withheld at source.

2) Foreigners must first confirm “resident vs. non-resident” status

Foreigner income tax filing: resident vs. non-resident (key definitions)

Foreigner income tax filing rules also tie closely to your visa status. For a full visa overview see our complete Korean visa types guide, and if you have not yet opened a salary account, see our foreigner bank account guide.

• Resident: someone with a domicile in Korea, or who has stayed in Korea for 183 days or more. Residents are taxed on worldwide income in principle. (Korean Law Portal)
• Non-resident: someone who does not meet the resident criteria. Non-residents are taxed only on Korea-sourced income. (Korean Law Portal)

Foreigner income tax filing: scope of taxation (this matters)

Residents are taxed on global income; non-residents are taxed only on income sourced in Korea. This is the single most important rule for foreigner income tax filing.

Foreigner income tax filing: the “5-year rule” exception for foreign residents

Foreign residents who have been in Korea for 5 years or less out of the past 10 years may have their foreign-source income taxed on a remittance basis (only foreign income brought into Korea is taxed). (Korean Law Portal)

3) What is “comprehensive income”? The bundle combined in May filing

Comprehensive income tax (종합소득세) combines several categories: employment income, business income, interest, dividends, pension, and other income. Capital gains and severance pay are taxed separately. (National Tax Service)

4) Year-end tax adjustment vs. comprehensive tax filing: clearing up confusion

Foreigner income tax filing: year-end adjustment (employment income focus)

Year-end tax adjustment (연말정산) is the process where your employer reconciles the tax already withheld from your monthly salary against your actual annual liability and refunds or collects the difference — usually in February of the following year. (National Tax Service)

Foreigner income tax filing: comprehensive return (May final filing)

Comprehensive income tax return (종합소득세 신고) is the self-filed annual return covering income that the year-end adjustment did not capture. The standard window is May 1 to May 31 of the year following the tax year. (National Tax Service)

5) “When is filing required?” Checklist for foreigners

Foreigner income tax filing — Case A. Filing needed even with employment income only

• You changed jobs during the year and your new employer did not consolidate prior income at year-end
• You worked at multiple employers simultaneously and only one performed year-end adjustment
• You received untaxed allowances or stock-based compensation

Foreigner income tax filing — Case B. Side jobs, freelance, contract work: filing risk rises sharply

If you have 3.3% withholding receipts (the standard Korean freelance withholding) on top of salary, you almost always need a May comprehensive return — both to combine income and to claim the deduction the 3.3% rate does not include. (National Tax Service)

Foreigner income tax filing — Case C. Other income (lecture fees, royalties) may also require filing

Lecture fees, royalties, and similar “other income” are usually subject to 8.8% withholding. Above the threshold (annual other income over 3 million KRW after necessary expenses) you must include it in your comprehensive return. (National Tax Service)

Foreigner income tax filing — Case D. Non-residents with personal-service income may also have filing options

Non-residents whose Korean income is from personal services may, in some cases, choose between flat withholding and filing a return at progressive rates with deductions. (Korean Law Portal)

Foreigner income tax filing — Case E. Departing Korea (overseas relocation) requires a “final settlement”

The NTS guides foreigners relocating overseas to file and pay by the day before departure. Skipping this can trigger penalties. (National Tax Service)

6) Quick-decision table: do I need to file?

Situation	May filing required?
One employer, year-end adjustment done, no other income	No (in most cases)
Side job / freelance income with 3.3% withholding	Yes
Multiple employers (overlapping)	Yes
Lecture fees / royalties over the threshold	Yes
Departing Korea permanently	Yes (before departure)
Non-resident with Korea-sourced income beyond fixed withholding	Possibly (check NTS guidance)

7) Key points on the 19% flat-tax option for foreign workers

Foreigner income tax filing: what is the 19% flat tax?

Eligible foreign employees may elect a flat 19% tax rate on employment income, applicable for a limited period from the first work-start date in Korea. Election is optional and locks out most deductions and credits. (NTS)

Foreigner income tax filing: what about non-resident foreign workers?

Non-resident foreign workers face different rules — typically a withholding-based settlement and limited deductions. Confirm the latest NTS guidance for your specific status before filing. (NTS)

8) Documents you need: get these and you are halfway done

Essentials (situation-dependent)

• Withholding tax receipts (원천징수영수증) from each payer
• Year-end tax adjustment summary from your employer
• Freelance / side-job 3.3% receipts
• Bank statements showing income deposits (proof of “no withholding” income)
• Alien Registration Card (ARC) or passport, plus Korean address

Hints you can confirm on Hometax

Hometax pre-fills most withholding records. After login, “Annual Wage and Salary Income Statement” and “Payment Statements (지급명세서)” reveal whether all your income is on file — useful for foreigner income tax filing decisions.

9) Top 6 misconceptions foreigners make (avoid these)

• “3.3% was deducted, so I am done.” — not true if total income exceeds the threshold.
• “My employer did the year-end adjustment, so I never need to file.” — not true if you have other income.
• “I am a non-resident, so I owe no Korean tax.” — Korea-sourced income is still taxed.
• “The 19% flat tax always saves money.” — it removes most deductions; run the numbers.
• “I am leaving Korea, so I will skip filing.” — departure triggers an early-filing rule.
• “Foreign-source income is invisible.” — residents over the 5-year threshold owe Korean tax on it.

10) Where to get help: foreigner-only consultation

• NTS English Helpline: 82-1588-0560 (foreigner-only) (National Tax Service)
• Hometax in English: limited but covers core filing screens
• Local district tax offices: appointment-based foreigner support

Wrap-up summary

Foreigner income tax filing in Korea is mostly a yes/no decision driven by income mix and residency. Salary-only foreign workers usually finish at year-end adjustment. Anyone with side income, multiple employers, lecture/royalty income, or a planned departure should prepare a May comprehensive return (or a pre-departure final settlement). When in doubt, use Hometax pre-filled data first and call the NTS English helpline.

FAQ

Q1. Do foreigners always have to do year-end adjustment in Korea?

Yes — if you have employment income from a Korean payroll, your employer must perform year-end adjustment. (National Tax Service)

Q2. When does year-end adjustment NOT cover everything, requiring a May filing?

If you also have business, freelance, lecture, royalty, interest, dividend, or untaxed income beyond a small threshold, a May comprehensive return is required.

Q3. I am a freelancer with 3.3% withheld — am I done?

Usually no. The 3.3% rate is a flat withholding; the actual tax depends on annual income minus expenses, so most freelancers must file in May. (National Tax Service)

Q4. Lecture fees and royalties had 8.8% withheld — what is that?

For eligible occasional services with a 60% deemed expense deduction, 20% income tax on the remaining 40%, plus local income tax, equals 8.8% of the gross payment. An 80% deduction produces a different result; neither expense rate applies to every type of other income. Above the annual threshold, you must include it in the comprehensive return. (National Tax Service)

Q5. What exactly defines a Korean “resident”?

Domicile in Korea or stay of 183 days or more in a tax year, per the Income Tax Act and Enforcement Decree. (Korean Law Portal)

Q6. Are foreign residents taxed on overseas income in Korea?

In principle yes, but foreign residents who have lived in Korea 5 years or less out of the past 10 may have foreign-source income limited to remittances. (Korean Law Portal)

Q7. When is the comprehensive income tax filing period?

May 1 to May 31 of the following year (June 30 for those subject to the diligent filing confirmation requirement). (National Tax Service)

Q8. Do I need to file before leaving Korea (overseas relocation)?

The NTS guides taxpayers leaving Korea for overseas relocation to file and pay by the day before departure. (National Tax Service)

Q9. Can every foreigner take the 19% flat tax?

Per NTS guidance, eligible foreign employees may elect the 19% flat rate, with a fixed application period and limits on deductions and credits. (NTS)

Q10. Is English-language consultation available?

Yes — the NTS provides a foreigner-dedicated helpline at 82-1588-0560. (National Tax Service)

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