Asia-Pacific · KRW
South Korea
Reviewed 2026-06-21
Top income tax
45%
Self-employed SS
Yes
VAT
10%
Capital gains
27.5%
Exit tax
Conditional
Nomad visa
Yes
51
/ 100
Tax efficiency28
Ease to enter84
Ease to exit50
Cost of living69
Internet32
English60
South Korea taxes residents on worldwide income at progressive rates up to 45%, with an extra local income surcharge of 10% of the national tax, so the real top rate is roughly 49.5%. Foreign nationals can elect a flat 19% rate for up to 20 years, and there is a one-year (renewable) F-1-D workation visa for remote workers earning about double the national GNI per capita. Social insurance is mandatory and applies to the self-employed, VAT is 10%, and large shareholders face an exit tax on unrealized share gains when they emigrate.
Personal income tax
Income tax structureProgressive
Top income tax rate45%
Entry income tax rate6%
Top rate threshold$750,000
Taxation basisWorldwide
Local/state income taxYes
Social security
Self-employed social securityYes
Employee SS rate9.7%
Employer SS rate11%
Indirect & other taxes
VAT standard rate10%
Capital gains rate27.5%
Long-hold CGT exemptionYes
Wealth taxNo
Inheritance/gift taxYes
Inheritance top rate50%
Property taxNo
Exit & residency
Exit taxConditional
Exit tax triggerLarge shareholders (3% or more of a Korean company, or shares worth KRW 1 billion or more) who were Korean residents emigrating abroad are taxed on unrealized gains on domestic shares as if sold on the departure date; from 2027 foreign shares are also covered.
Exit tax residency lookback5 years
EU/EEA deferralNo
Days to trigger residency183 days
Corporate
Corporate income tax rate25%
WHT on dividends22%
CFC rulesYes
Incentives & special regimes
Special expat regimeYes
Expat regime nameFlat 19% tax rate election for foreign workers (plus local surtax), available for up to 20 years from first work start date
Immigration & setup
Digital nomad visaYes
DNV monthly income requirement$5,500
Entrepreneur visaYes
Ease of setup4 / 5
Lifestyle
Cost of living index60
Internet speed145 Mbps
English proficiencyMedium
Civil liberties82
Sources
- PwC Worldwide Tax Summaries — Korea Individual Taxes on Personal Income
- PwC Worldwide Tax Summaries — Korea Individual Other Taxes (VAT, social security, inheritance, wealth)
- PwC Worldwide Tax Summaries — Korea Corporate Taxes on Corporate Income
- MOFA Republic of Korea (Consulate General Seattle) — F-1-D Workation (Digital Nomad) Visa Requirements
- Numbeo — Cost of Living in South Korea (June 2026)
Informational only. Nothing here is tax, legal, or financial advice. Tax rules change often and vary by personal circumstance. Verify every figure against an official source and a qualified adviser before acting. Figures are re-expressed from public sources and cited per country.