National Tax Service "Report 2019 Income Amount by the 10th of Next Month"

Duty-Free Business Operator Workplace Status Report, Easy and Convenient via Hometax

[Asia Economy Reporter Kwangho Lee] Individual business owners who are exempt from value-added tax, such as hospitals and clinics, academies, and residential rental businesses, must report their 2019 income amounts to the tax office with jurisdiction over their business location by the 10th of next month.

In particular, residential rental income was fully taxable before 2013, and from 2014 to 2018, only total income exceeding 20 million KRW was taxed. However, starting from the 2019 tax year, in order to ensure fairness with other industries such as commercial rental businesses and to uphold the taxation principle that "taxes exist where income exists," residential rental business owners with total income of 20 million KRW or less are also subject to income tax and must report their income amounts.

The National Tax Service announced on the 15th that starting from the 16th, it will send customized guidance letters by industry and type to 1.82 million taxpayers subject to reporting.

Business status reporting can be easily done through Hometax without visiting the tax office. Instructions for filling out the report are also provided on the National Tax Service website.

From this year, to simplify reporting, expense details such as rent, purchase amounts, and labor costs are excluded from the reporting items. Additionally, for residential rental business owners with limited reporting experience, Hometax provides a service to easily calculate deemed rent on jeonse deposits.

After the business status report is submitted, the reported contents will be thoroughly analyzed to verify any non-reporting or under-reporting.

A National Tax Service official urged, "You must submit the business status report to conveniently file your income tax using the simplified reporting service provided by the National Tax Service in May, so please report faithfully."

This content was produced with the assistance of AI translation services.