Flat Tax Rate for Foreigners
At year-end/filing, foreign workers may choose the ‘flat tax rate special’ instead of the regular progressive rates (which rise as income grows). It applies one set rate but generally gives up most exemptions, reductions, and income/tax deductions, so which is better varies by person. It applies only if you elect it, and the key is to compute both ways and pick whichever is more favorable. ⚠️ By policy this guide does not state a specific rate figure — confirm this year’s eligibility, rate, and applicable period with the NTS / Hometax.
How to proceed
- 1Check whether you’re eligible for the flat-rate special (there are status/period conditions)
- 2See your tax under the regular progressive rates (deductions applied)
- 3See your tax under the flat rate (most deductions not applied)
- 4Compare the two results and choose whichever is more favorable
- 5Apply your choice (the flat rate requires submitting an application) at year-end/filing
Tips
- ⚠️ Eligibility, the rate, and the applicable period can change yearly — confirm this year’s rules with NTS ☎126 or Hometax (we don’t state a rate figure here).
- Choosing the flat rate means giving up most exemptions/reductions/income/tax deductions — if you have many deductions, the regular rate may be better (results vary by person).
- Use the year-end simplified service to estimate the tax both ways and compare — neither side is automatically better.
- If it’s hard to decide, ask your company’s payroll staff (withholding agent) or a tax accountant to compare both.
- The flat rate applies only if you ‘apply’ for it — don’t miss the application timing in your company’s year-end schedule.
Key contacts
- NTS Semirae call center ☎126
- Foreigner English help line ☎1588-0560
- Hometax hometax.go.kr
- If the decision is complex, consult a tax accountant
Related guides
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