National Tax Service Provides Tax Support Including Extension of Filing and Payment Deadlines for Taxpayers Affected by COVID-19

Strict Response to Distribution Businesses Suspected of Tax Evasion and Market Order Disruption Such as Hoarding

[Asia Economy Reporter Kwangho Lee] The National Tax Service (NTS) will support taxpayers such as small business owners who are struggling due to the novel coronavirus infection (Wuhan pneumonia) by extending filing and payment deadlines, deferring collection, postponing delinquency measures, and delaying or suspending tax audits.

On the 5th, the NTS announced that it will extend the filing and payment deadlines for corporate tax (March) and value-added tax (April) by up to 9 months for taxpayers affected in sectors such as medical care, tourism, travel, performances, food service, and lodging. If the situation continues, it plans to extend the filing and payment deadlines for comprehensive income tax (May) as well to provide support.

Additionally, for national taxes already notified, collection will be deferred for up to 9 months, and in cases where national tax refunds occur for small and medium-sized enterprises exporting to China, payments will be expedited as much as possible.

Even if there are delinquent amounts, enforcement of delinquency measures such as the sale of seized real estate will be postponed for up to one year.

Furthermore, in principle, tax audits on affected taxpayers will be suspended until the situation stabilizes.

In particular, the NTS headquarters, seven regional tax offices nationwide, and 125 tax offices will establish a 'Novel Coronavirus Tax Support Dedicated Response Team' to systematically support affected taxpayers.

Moreover, strict measures will be taken against businesses that disrupt market order and evade taxes through unfair trade practices such as hoarding and stockpiling medical supplies like masks and hand sanitizers by exploiting others' difficulties.

An NTS official stated, "We will continue to strengthen communication with taxpayers and provide maximum tax support within the scope of the law to small business owners and others who become more vulnerable as the economy worsens."

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