"515,000 Companies' Corporate Tax Interim Payment, Report and Pay by August 31"

[Asia Economy Sejong=Reporter Kim Hyewon] Corporations with a December fiscal year-end must file and pay their corporate tax interim prepayment by the 31st, the National Tax Service announced on the 1st.

Corporate tax interim prepayment is a system where corporations whose fiscal year ends in December estimate and prepay corporate tax for business activities from January 1 to June 30.

This year, the number of corporations subject to interim prepayment increased by 44,000 from last year to 515,000.

The interim prepayment amount can be calculated based on the tax amount calculated in the previous fiscal year or by filing after a mid-term settlement of the first half's performance. However, small and medium-sized enterprises with an interim prepayment amount calculated based on the previous fiscal year's tax amount of less than 300,000 KRW, newly established corporations this year, non-profit corporations with only interest income, and corporations with no revenue in the first half of this year due to reasons such as suspension of business are exempt from the filing and payment obligation.

The National Tax Service also announced tax support measures for corporations facing management difficulties. Small and medium-sized enterprises that received COVID-19 related loss compensation or loss reimbursement, and small and medium-sized enterprises located in employment and industrial crisis areas or special disaster areas (Geoje, Tongyeong, Goseong, Changwon Jinhae, Ulsan Dong-gu, Gunsan, Yeongam, Mokpo, Haenam, Uljin, Samcheok, Gangneung, Donghae) will have their payment deadlines extended by three months ex officio. Other corporations can also receive support if they apply for an extension of the payment deadline. Corporations with tax amounts exceeding 10 million KRW can pay in installments for one month (until September 30) from the day after the deadline, and small and medium-sized enterprises can pay in installments for two months (until October 31).

Corporate tax interim prepayment can be electronically filed via Hometax starting today. Using the Hometax 'Interim Prepayment Tax Amount Inquiry Service,' taxpayers can check the estimated tax amount. Also, corporations paying the interim prepayment based on the previous fiscal year's calculated tax amount can conveniently file via mobile using Hometax (mobile Hometax).

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