Final Materials Available for Review Starting from the 20th
The simplified service that allows you to check income and tax deduction proof documents for year-end tax settlement, known as the "13th month salary," has been launched.
The National Tax Service announced that from the 15th, it will provide the year-end tax settlement simplified service, and from the 20th, it will be possible to download the final confirmed data and batch-provided service data.
Hometown Love Donation, Full Tax Credit up to 100,000 KRW
The National Tax Service is providing 41 types of proof documents for the first time this year, including hometown love donations, movie ticket fees, employment insurance premiums, CSAT (College Scholastic Ability Test) application fees, and university entrance examination fees. Those who made hometown love donations can receive a full tax credit up to 100,000 KRW, and 15% of CSAT application fees and university entrance examination fees can be credited as education expenses.
Medical expenses not found in the simplified service can be reported to the reporting center until the 17th of this month. If medical expenses are not found or are incorrect in the simplified data, reporting to the 'Medical Expenses Not Found Reporting Center' between the 15th and 17th will prompt the National Tax Service to guide medical institutions to submit additional or corrected documents. The additional or corrected simplified data can be checked on the Hometax simplified service starting from the 20th.
When a child becomes an adult at age 19 (born in 2004), the provision of simplified data requested by the parents ends, so if they want to continue receiving it, the child must consent directly. If there is no consent, the child's education expenses and other data may be omitted. To prevent this, the National Tax Service has notified both parents and children via mobile (Naver electronic document) that the data provision will end and that the child must consent directly.
Check Tax Saving Information for Dual-Income Couples through the 'Convenient Year-End Tax Settlement Service'
The convenient year-end tax settlement service, provided for workers such as dual-income couples and companies without their own year-end tax settlement programs, will be launched on the 18th.
'Dual-Income Couple Tax Saving Guide' simulates all cases where dual-income couples can claim deductions for dependents such as parents and children, showing the optimal deduction combination for year-end tax settlement. Both spouses access the convenient year-end tax settlement, load simplified data, prepare the deduction report, and complete the 'Calculate Estimated Tax Amount' step. Then, the worker must enter the personal information such as the name and resident registration number of the spouse who will receive the tax saving guide and agree to provide the data. Through this, they can check the difference between the initially calculated final tax amount and the final tax amounts for all cases where dependents can be selected, and choose the optimal deduction combination. For example, if worker A has an annual salary of 120 million KRW, spouse B has an annual salary of 70 million KRW, and the dependents include three children, parents, and the spouse’s parents totaling seven people, they can use the 'View Tax Saving Guide' to check 128 cases ranging from a minimum refund of 870,000 KRW to a maximum payment of 1.5 million KRW, and settle the year-end tax with the case that results in the lowest tax burden.
By using the convenient year-end tax settlement service, companies can receive year-end tax settlement documents such as deduction reports from workers, perform the settlement, and submit payment statements.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
