Tax Credit Application 'Forgotten'? 1,550 Delivery Rider Companies and Others to Receive Refunds

For Caddies, Caregivers, and Others

The National Tax Service (NTS) has decided to automatically refund corporate and income taxes to income data submitters such as caddies, caregivers, and delivery riders who forgot to apply for tax credits.

On the 12th, an NTS official stated, "We have decided to automatically refund 220 million KRW in corporate and income taxes to 1,550 businesses that met the tax credit requirements but did not apply." He explained, "The 'Tax Credit for Submission of Tax Data on Service Providers' system is intended as a reward for the sincere tax cooperation of workplace providers, reflecting its original purpose."

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Since the submission cycle for income data on service providers changed to monthly in November 2021, the number of businesses submitting tax data statements for workplace providers was 809 for the 2021 tax year and 1,297 for the 2022 tax year. However, the number of businesses applying for the tax credit for submission of tax data on service providers was only 20 for the 2021 tax year and 32 for the 2022 tax year.

If a registered account is available, the refund will be deposited via bank transfer. If there is no registered account, the taxpayer can visit a post office with the National Tax Refund Notice sent by mail and their personal ID (for corporations, the representative’s ID and a copy of the business registration certificate) to receive the refund in cash.

An NTS official said, "Along with the automatic refund of the service provider tax credit, the NTS is also working to reduce economic costs by expanding the tax credit amount and extending the grace period for additional taxes." He added, "We will continue to operate a real-time income tracking system to minimize the burden of monthly income data submission."