A VAT Refund Guide to
South Korea
How to get VAT Refunds from South Korea for your business
Businesses registered in countries outside of South Korea can claim VAT refunds on any costs incurred in South Korea.
The below information details the requirements needed to be eligible for a VAT refund. This includes claimable expense types, South Korea VAT rates, deadlines and claiming periods.
Where is your company based?
EU
based businesses
VAT-registered businesses in an EU member state are eligible to recover VAT on business costs from South Korea under the EU VAT Refund Directive.
NON-EU
based businesses
VAT-registered businesses outside of the European Union are eligible to recover VAT on business costs from South Korea under the 13th Directive.
Which countries have reciprocity with South Korea?
Austria , Australia, Belgium , Canada, Denmark , Finland , France, Germany, Hong Kong , Iceland, Japan , Ireland, Israel, Monaco, Netherlands, Norway, Sweden, United Kingdom and United States, and United Arab Emirates
For a more detailed explanation on what reciprocity means within the scope of VAT, click here:
What expenses are claimable in South Korea?
ENTERTAINMENT & HOSPITALITY
Entertainment
0%
Hotels & Accommodation
10%
Restaurants
0%
EVENTS
Conferences, Trade Shows & Exhibitions
10%
Training Courses & Seminars
10%
GENERAL EXPENSES
Goods
10%
Inter-company charges
10%
Office Expenses
10%
Marketing Costs
10%
Professional Fees & AP invoices
10%
TRAVEL RELATED
Car Rental
0%
Fuel
0%
Public Transport
0%
Taxis
0%
Additional Information
How far back can your business claim VAT from South Korea?
5 years in retrospective filing allowed from previous year
What’s the foreign VAT deadline in South Korea?
30 June of each year (Within 6 months of the end of the calendar year in which the tax was incurred). Please note that South Korea 13th Claims are submitted electronically and therefore a Web Portal registration is required
How long does it take to receive a VAT refund from South Korea?
Need help with your VAT refund from South Korea?
You don’t have to do this alone. We’ve been helping companies reclaim foreign VAT refunds for over 20 years. We have the knowledge and technology to process your refunds quicker as well as attend to any unforeseen VAT authority queries that may arise.
Download a full international VAT guide and never miss a deadline
