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SME employee income tax cut checker

Check whether you qualify for the income tax cut for SME employees from your date of birth, start date and military service, and see the tax cut period and filing deadline.

Your details

Who you are

Aged 15 to 34 on the date the employment contract was signed. Military service of up to 6 years is taken off your age.

Leave blank if it is the same as the start date. Age is checked on this date.

Military service

Add each period of service. Industrial technical personnel, expert researchers, public health doctors and other alternative service are not taken off.

Exclusions

Tick anything that applies. Any one of these means no tax cut.

Eligible and ineligible industries

Eligible main businesses: agriculture, forestry and fishing; mining; manufacturing; electricity, gas and steam; water, sewage, waste and recycling; construction; wholesale and retail; transport and storage (except customs brokerage); accommodation and food (except bars and non-alcoholic drink shops); information and communications (except video rooms and virtual asset trading); real estate (except leasing); research and development; advertising; market research and polling; architecture, engineering and other science and technology services; other professional, scientific and technical services (except veterinary); business facility management and support; technical and vocational schools; computer schools; social welfare services; repair of personal goods; creative and arts services; libraries, historic sites and similar; sports services.

Not listed, so not eligible: finance and insurance, health care such as hospitals and clinics, education other than the two school types above, legal, accounting, tax and management consulting, bars, amusement places. The state, local governments, public institutions and local public enterprises are also excluded.

Result

Enter your date of birth and start date to see the result.

How to apply

  • Hand the application form (Enforcement Rule Form 11) and proof of military service to your employer by the last day of the month after the month you started (Enforcement Decree art. 27(5)).
  • A late application still works: the tax cut applies from your start date (NTS ruling 2012-08-17). After the year-end tax settlement, claim a refund within 5 years.
  • Your employer applies the rate from the next month's withholding and reports to the tax office by the 10th of the month after receiving your form (art. 30(3)).
  • If you have already left the job, you can apply directly to the tax office for your address (art. 30(2)).
  • If you claim it without meeting the conditions, you pay back the shortfall × 105% (art. 30(5) to (7)).
  • Tax cut = calculated tax × share of SME wage income × rate, up to 2,000,000 won per tax year (decree art. 27(8)).

This checks dates and conditions only; the tax office makes the final decision. It is a guide, not tax advice.

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