FTA between Canada and South Korea
Canada and South Korea concluded a free trade agreement (FTA) in March 2014. This agreement will reduce or eliminate duties and tariffs on a number of imports and exports between the two countries. Within a three to five year time span Canada is to
See MoreSouth Korea and US Agree on Text Of FATCA Agreement
South Korea has announced that it has agreed to the regular exchange of information with the US from next year to assist the implementation of the Foreign Account Tax Compliance Act (FATCA). The FATCA legislation in the US aims to ensure that the US
See MoreSouth Korea to Rein In Tax Relief to Fund Welfare Reform
Under the Framework Plan for Tax Expenditures for the year 2014 South Korea is committed to amending the system of tax relief. This could result in the abolition of some tax incentives and taxpayers need to keep a close eye on developments as they
See MoreSouth Korea – Seeks Tax from Gold Trading
South Korea is launching the first spot market for gold, in an effort to eliminate underground transactions in gold and boost revenue from tax. The spot market is open to any qualified gold dealer such as an importer or a wholesale or retail
See MoreSouth Korea Looks to FTAs to Support SMEs
A recent ministerial meeting has considered new measures to help small and medium enterprises (SMEs) that are becoming involved in markets in the South East Asia region. The support would involve regional agreements to lower tariffs and facilitate
See MoreSouth Korea: mergers and acquisitions activity and rental market
South Korea’s Deputy Prime Minister and Minister of Strategy and Finance presided over a Ministerial Meeting on the Economy on March 5 that discussed tax measures to stimulate mergers and acquisitions (M&A) in South Korea and to fine-tune
See MorePeru signs DTA with South Korea
Peru completed its domestic ratification procedures on February 27, 2014, in respect of the double taxation agreement (DTA) with South Korea. The treaty was signed on 10 May 2012 and will enter into force when both countries have completed their
See MoreSouth Korea: reducing stock option taxation
South Korea announced measures on 5 February 2014 to ease the tax burden on stock options for the venture capital and start-up sector. Early this year, the Government finalized a range of tax incentives, which were first announced in May 2013, to
See MoreSouth Korea and India will upgrade CEPA and revise DTA
South Korean President and India’s Prime Minister agreed on 16 January 2014 to upgrade their comprehensive economic partnership agreement (CEPA) and make effective a revised double taxation agreement (DTA) between the two countries. It is reported
See MoreTax credits for creating job in South Korea
The government of South Korea is planning to give more tax incentives to corporate and personal financing in culture and leisure activities like libraries, museums, art galleries and performance in theaters. An additional tax credit of 3 % will be
See MoreProperty tax cut of South Korea
The government of South Korea has decided that the tax cut on home purchases will become effective from 28 August 2013. The tax cut was previously scheduled to come into effect from 1 January 2014. The government has proposed to permanently reduce
See MoreKorean Budget Proposal for 2014
The Ministry of Strategy and Finance (MOSF) of Korea (Rep.) released the Budget 2014 proposal on 27 September 2013. The tax measures in the budget proposal include in the local government consumption taxes to 8% in 2014 and 11% from 2015. According
See MoreProtocol and exchange of letters entered into force to treaty between Korea (Rep.) and Luxembourg
The amending protocol and exchange of letters, which was signed on 29 May 2012, the Income and Capital Tax Treaty between Korea (Rep.) and Luxembourg, entered into force on 4 September 2013. The protocol generally applies from 4 September
See MoreKorea (Rep.): Tax Revision Bill 2013 approved
The Ministry of Strategy and Finance of Korea (Rep.) approved the Tax Revision Bill 2013 on 26 September 2013 with various changes. The Tax Revision Bill 2013 will mostly take effect from 1 January 2014. According to the approved bill receipts will
See MoreSouth Korea- Planning of Acquisition Tax Cuts
The South Korean Government announced on 30 August 2013 that the tax rates on home purchases would be decreased in order to encourage a rise in transaction numbers. An exemption from property acquisition tax was granted in April 2013, but the
See MoreKorea: Foreign exchange profit taxable as dividend income
Korea’s high court has issued a judgment in a case where a taxpayer received an amount less than the principal investment on the sale of participations in Japanese funds, which was offset to some extent by foreign exchange gains from the strength
See MoreKorea: Update on rules for application of arm’s length standard to head office–branch transactions
Korea’s Ministry of Strategy and Finance has issued new regulations to clarify the method for calculating domestic-source income from intra-company transactions between a foreign head office and its Korean branch. This follows the passing of the
See MoreKorean government releases revised tax reforms enforcement ordinance
The Ministry of Strategy and Finance (MOSF) on 17 January 2013 announced that the revised tax reforms enforcement decree would be released in mid-February. This decree will provide for the enforcement of amendments made to a number of tax laws,
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