한국어

Korea VAT Calculator (10%)

Split any Korean price into the net amount and the 10% VAT, in either direction.

Looking for the refund you claim at the airport? That is the tourist VAT refund, and it works differently. This page is for people who charge Korean VAT and file it.

Take VAT out of a gross amount

Enter a price with VAT included and get the net amount behind it.

won

Add VAT to a net amount

Enter a price before VAT and get the total you invoice.

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Taking VAT out of a gross amount

Net amountNet amount=Gross amount÷1.1
VATVAT=Gross amount−Net amount
Example
  • Gross amount1,100,000 won
  • Net amount (÷ 1.1)1,000,000 won
  • VAT100,000 won
Korea charges a single VAT rate of 10%, set by Article 30 of the Value Added Tax Act. There is no reduced band and no second rate to look up.

Adding VAT to a net amount

VATVAT=Net amount×10%
Gross amountGross amount=Net amount+VAT
Example
  • Net amount1,000,000 won
  • VAT (10%)100,000 won
  • Gross amount1,100,000 won
A Korean tax invoice shows both lines. The net amount is the supply value your customer is buying, and the VAT sits under it as a separate figure.

Learn more 📚

Do you have to charge VAT at all?

  1. 1
    Are you registered as a business in Korea?VAT is charged by registered businesses. An employee on a payslip never charges it.
  2. 2
    Does your visa allow the activity?Business registration has no nationality test. Your status of stay is what decides it.
  3. 3
    General or simplified taxpayer?Last year's sales decide which one you are, and that changes what you charge and file.
Registration is handled by the National Tax Service. Whether you may run the business at all is an immigration question. The two offices answer different halves of it.

Your visa decides, not your nationality

This is immigration law, not tax law. Nothing here says a foreigner cannot register a business, only that the status of stay has to fit.
Status of stayRunning a business in Korea
F-2, F-5, F-6Residence and permanent residence statuses. No extra permission is needed
D-8, D-9Corporate investment and trade management. The business is the point of the visa
D-2, E-2 and other single-purpose statusesYou need permission to engage in activities outside your status before you start
Short stay and tourist entryNot a status for earning. Check with immigration before you sign anything

General taxpayer or simplified taxpayer

The sales line is revised from time to time. Check the current figure with the National Tax Service, not an old blog post.
General taxpayerSimplified taxpayer
Who lands hereThe default for most registered businessesSmall businesses under a sales line set each year
VAT you charge10% of the net amountA reduced effective rate set by your industry
Input VAT on purchasesDeducted in fullOnly partly deductible
Tax invoicesYou issue themLimited, which matters when your customers are businesses

Tax resident or not, and why VAT hardly cares

VAT follows where the supply happens, not where you live. The 183-day residency test belongs to income tax, not to this one.
Tax resident running a Korean businessNon-resident with no place of business here
Who registersYou register with the National Tax Service and get a business registration numberUsually nobody registers locally, though overseas digital services have a simplified registration
Who charges the 10%You add it to your invoice and file it yourselfThe Korean buyer often accounts for the VAT instead of you
What this calculator fitsExactly this caseOnly useful for reading a Korean invoice you have been sent

When Korean VAT is filed

Small businesses can be excused from the two interim filings. Your local tax office confirms which pattern applies to you.
Due dateWhat it covers
April 25Interim filing for the first half of the year
July 25Final filing for the first half
October 25Interim filing for the second half
January 25Final filing for the second half, in the following year

FAQ ❓

No. That is the tourist VAT refund, where a visitor gets tax back on goods bought at a participating shop and taken out of the country. This page is for people on the other side of the counter, working out the VAT they charge and file.
There is no nationality requirement for business registration. What has to fit is your status of stay. F-2, F-5 and F-6 holders can run a business without extra permission, and D-8 and D-9 exist for exactly that purpose. On a single-purpose status such as D-2 or E-2 you need permission to engage in activities outside your status first, which is an immigration matter rather than a tax one.
It depends on whether you are a registered business and what you supply. Personal services billed by a registered business generally carry VAT. If you are being paid with 3.3% withheld and have no business registration, you are not charging VAT at all.
Because the gross already contains the VAT. If the net amount is 100 and VAT is 10% of it, the gross is 110, which is the net multiplied by 1.1. Reversing that means dividing by 1.1, and the VAT is whatever is left over.
A category for small businesses whose sales in the previous year fell under a line the law sets. The effective VAT rate is lower, input VAT is only partly deductible, and there are limits on issuing tax invoices. The sales line has been revised several times, so check the current figure with the National Tax Service.
No. Korea charges a single rate of 10% under Article 30 of the Value Added Tax Act. Some supplies are zero-rated or exempt, but there is no second rate band to look up.
Four dates run through the year: April 25 and October 25 for the interim filings, July 25 for the first half's final filing, and January 25 of the following year for the second half. Smaller businesses can be excused from the interim filings.

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