Corporate Tax Interim Payment for December Fiscal Year-End Corporations Must Be Filed and Paid by the End of August

National Tax Service Provides Pre-calculated Tax Amounts
Export SMEs with Sales Decline and Corporations Affected by Heavy Rainfall Can Extend Payment Deadlines

For corporations with a December fiscal year-end, the interim corporate tax payment must be reported and paid by August 31.

On the 31st, the National Tax Service announced that approximately 518,000 corporations are subject to interim tax payments this time, an increase of 3,000 from 515,000 last year.

Corporations with a fiscal year ending in December must report and pay the interim corporate tax amount for the period from January 1 to June 30 by August 31. However, domestic corporations classified as small and medium-sized enterprises (SMEs) based on the previous fiscal year are exempt from the reporting and payment obligation if the interim tax amount calculated based on the previous fiscal year's calculated tax amount is less than 500,000 KRW. Newly established corporations in 2023, non-profit corporations with only interest income, and corporations with no revenue in the first half of the year due to reasons such as suspension of business are also exempt from reporting and payment obligations.

The interim tax amount can be paid either based on the calculated tax amount of the previous fiscal year or by conducting an interim settlement of the first half of the year (January to June 2023) performance.

Corporations paying the interim tax based on the previous fiscal year's calculated tax amount can easily report using the 'Pre-fill Service' via Hometax or Hometax mobile. Corporations reporting through interim settlement can electronically file by uploading files created using the electronic filing program to Hometax.

Corporations with a tax amount exceeding 10 million KRW can pay part of the tax in installments for one month (until the end of September) from the day after the payment deadline, and SMEs can extend this installment period to two months (until the end of October).

Meanwhile, the National Tax Service continues to provide tax support by extending the payment deadline by two months ex officio for 5,068 corporations, including export SMEs facing difficulties due to decreased sales and SMEs located in employment crisis areas (Geoje, Gyeongnam). Additionally, for corporations directly affected by heavy rains, the payment deadline is extended by two months ex officio, and upon request, it can be extended up to nine months.