Dual-Income Couples, Who Benefits More from Tax Deductions? Check with the 'Year-End Tax Settlement Preview'

National Tax Service to Launch 'Year-End Tax Settlement Preview and Simplified Data Batch Provision' Service on 31st

The National Tax Service (NTS) will launch the 'Year-end Tax Settlement Preview' service on the 31st, which allows taxpayers to calculate next year's year-end tax settlement amount based on this year's credit card usage and past deduction amounts and to devise tax-saving strategies. Additionally, if employees agree to provide year-end tax settlement data to their companies, the NTS will directly provide the data to companies through the 'Simplified Data Bulk Provision' service.

The Year-end Tax Settlement Preview proceeds in the order of 'Calculate Credit Card Income Deduction → Calculate Estimated Year-end Tax Settlement Amount → Customized Tax-saving Tips and 3-year Trends.'

First, by entering the expected usage amount for October to December on top of the pre-filled credit card usage amount from January to September of this year, the estimated income deduction amount is automatically calculated. Since deduction rates vary by payment method and usage location?credit cards (15%), cash receipts, books, performances, etc. (30%), traditional markets (40%), public transportation (80%)?increasing the proportion of usage in categories with higher deduction rates such as cash receipts and traditional markets can increase the income deduction amount.

By modifying the pre-filled deduction amount from last year's year-end tax settlement and entering the expected total salary and pre-paid tax amount for this year, the estimated refund (payment) tax amount is automatically calculated. This allows dual-income couples to check in advance who benefits more from deductions for dependents, education expenses, donations, credit cards, etc.

The Year-end Tax Settlement Preview also provides tax-saving methods by item. It informs users of the deduction and tax amount trends over the past three years, the causes, and the actual tax rate burden. Based on this year's estimated tax amount, it offers customized tax-saving advice and precautions. Users can check the additional deductible amounts and deduction requirements for each deduction item such as pension savings, education expenses, and credit cards, enabling them to establish tax-saving strategies aligned with their savings and spending plans by the end of the year.

The NTS conducts a detailed analysis of six deduction items that are easy to overlook during year-end tax settlement and provides direct 'customized guidance' to employees who meet the deduction requirements but have not claimed the deductions.

Following individual guidance provided for the first time last year to young workers in their 20s and 30s, this year the service has been expanded to all workers. Electronic documents are sent via Naver, allowing easy confirmation on mobile devices. Newly revised deductions this year include hometown love donations, college entrance exam fees, university admission screening fees, and movie ticket fees. Labor union fees are deductible only if the union has disclosed its accounting by November 30.

By using the Simplified Data Bulk Provision service, employees do not need to access Hometax or visit the tax office to print year-end tax settlement data. Companies can reduce the time and effort required to guide and collect data from employees.