Chungcheongbuk-do

Taxes

• National taxes include income tax, corporate and education taxes, etc. Local taxes include sales tax, resident tax, property tax and motor vehicle tax. National taxes and local taxes apply equally to both Koreans and resident foreigners.
• Regarding corporate tax, a 13% tax rate applies to an annual income of KRW100 million or lower, while a 25% tax rate applies to an annual income of more than KRW100 million (in 2005). For an income earned by a Korean worker, a four-tier progressive tax rate (8~35%) applies. A foreign worker can choose from 1) an income tax equal to 17% of their total salary, or 2) the same income tax applied to a Korean worker after a deduction of 30% of the total salary from the taxable income amount.

National pension system

• The National Pension Plan is designed to help people live a financially stable life with a pension paid to them or their family members by having them pay an insurance premium every month while engaged in income-earning activities. The plan is managed by the State, which pays a given portion of the amount required to maintain the plan, in addition to insurance premiums paid by the Insured.
• All registered foreign employees between the ages of 19 to 60 pay into the National Pension system.
• Individually insured persons shall report their status to the local branch of the National Pension Management Corporation (NPMC).