1.15 Million Corporations with December Fiscal Year-End Must File and Pay Corporate Tax by End of Next Month

Corporations with a fiscal year ending in December 2024 must file and pay corporate tax by March 31.

According to the National Tax Service on the 18th, there are approximately 1.15 million corporations with December fiscal year-end, an increase of 40,000 from 1.11 million last year.

The filing requirement applies not only to for-profit corporations but also to non-profit corporations engaged in income-generating activities and foreign corporations with domestic-source income. Eligible corporations can electronically file their returns via the National Tax Service's Hometax system starting from the 1st of next month using a file conversion method.

Last March, 99.7% of corporations that filed corporate tax returns completed their filings electronically. When filing electronically, a deduction of 20,000 KRW is available from the payable tax amount. In particular, corporations with no sales and no tax adjustments, as well as non-profit corporations with only interest income, can easily file using Hometax’s simplified filing system.

The payable tax amount must be paid by March 31. If the payable tax exceeds 10 million KRW, installment payments are allowed.

Corporations subject to the faithful filing confirmation or those applying consolidated taxation can file and pay by April 30. Corporations subject to faithful filing confirmation must submit a 'Faithful Filing Confirmation Letter' prepared and verified by a tax agent along with their return.

If a corporation subject to external audit has not finalized its financial statements due to an ongoing audit, it can apply for an extension of the filing deadline up to three days before the original deadline, allowing an extension of up to one month. However, interest equivalent to the extension period must be additionally paid.