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Business Registration & VAT (Self-employed)

To run a business in Korea you need a ‘business registration.’ But above all, first confirm your visa permits business (profit-making activity) — running a business on a visa that doesn’t allow it can seriously jeopardize your stay and employment. Once registered, you have VAT (usually once or twice a year depending on your taxpayer type) and comprehensive income-tax (each May) filing duties. You can apply and file on Hometax (web), Sontax (app), or at a tax office.

Based on official sources · verify before deciding· as of 2026-06-09Official site ↗

What to prepare

  • ARC and passport
  • Confirmation that your status allows profit-making activity (business)
  • Business-place documents such as a lease (if applicable)
  • Business registration form (business type, trade name, etc.)
  • For licensed sectors, the relevant permit/license documents

How to proceed

  1. 1First confirm your status allows business (Immigration / Foreigner info center ☎1345, or an administrative agent)
  2. 2If needed, change your status or get permission for activity outside your status
  3. 3Apply for business registration on Hometax/Sontax or at a tax office (usually within a set period from when you start)
  4. 4Register your taxpayer type (general or simplified taxation, etc.) and business type
  5. 5Then file and pay VAT (once or twice a year by taxpayer type) and comprehensive income tax (each May)
  6. 6Keeping tax invoices, cash receipts, and expense proof as you go makes filing easier

Tips

  • ⚠️ Running a business without the right status (or permission) can be illegal and directly affects your stay — always confirm with Immigration (☎1345) before starting.
  • ⚠️ Missing a VAT or income-tax deadline can bring penalty tax and other downsides — don’t delay (verify amounts officially).
  • Your taxpayer type (general vs. simplified taxation, etc.) changes how often and how you file — check your type at registration.
  • ⚠️ Figures like rates, deadlines, and simplified-taxation thresholds change — don’t assume; verify with NTS ☎126 or Hometax.
  • If filing or bookkeeping is complex, using a tax accountant is the safe route.

Key contacts

  • NTS Semirae call center ☎126
  • Foreigner English help line ☎1588-0560
  • Immigration / Foreigner info center ☎1345 (status check)
  • Hometax hometax.go.kr · Sontax (app)
  • If complex, consult a tax office or a tax accountant

Related guides

Comprehensive Income Tax (May)Income & Withholding Certificates
Check the official site (Hometax) ↗

This is general information and has no legal force. Taxes change every year and depend on your situation — always verify with official sources (NTS ☎126, Hometax, a tax accountant).
Last updated: 2026-06-09