2022 Earned Income Tax Credit per Household 1.13 Million Won... 10.4% Increase YoY

National Tax Service to Distribute Second Half Incentives on 27th
Maximum Payout Increased Starting This Year

The amount of the earned income tax credit (EITC) paid for the year 2022 was found to have increased by more than 10% compared to the previous year, averaging 1.13 million KRW per household. The EITC is a support fund aimed at stabilizing the living conditions of working households facing economic difficulties.

The National Tax Service (NTS) announced that it will make a lump-sum payment of the second half and settlement portion of the 2022 EITC on the 27th.

The second half of the 2022 EITC to be paid this time will be distributed to 1.92 million households, totaling 1.8174 trillion KRW. Starting this year, the maximum EITC payment amounts have been raised from 1.5 million KRW to 1.65 million KRW for single-person households, from 2.6 million KRW to 2.85 million KRW for single-earner households, and from 3 million KRW to 3.3 million KRW for dual-earner households. Accordingly, the payment amount increased by 230.2 billion KRW compared to the same period last year (1.5872 trillion KRW).

Including the first half payment made in December last year, the total EITC for 2022 was 2.2847 trillion KRW distributed to 2.02 million households, an increase of 267 billion KRW compared to the 2021 year. The average payment per household was 1.13 million KRW, a 10.4% rise from the previous year.

However, households that applied for the semi-annual EITC in September last year or March this year, or those with income other than earned income within the household (including the individual and spouse) who are required to file a comprehensive income tax return, are considered to have applied regularly and will receive payment at the end of August this year.

The NTS has notified all applicants of the screening results via mail or mobile. The EITC Counseling Center, automated response system, and Hometax (PC and mobile) can also be used to check the status. If you met the eligibility requirements for the 2022 EITC but did not apply this year, you can apply by November 30.

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