Global

Details

  • Service: Tax, International Corporate Tax, Global Indirect Tax, International Executive Services, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 3/21/2013

Korea - Update on AMT, production credit, loss deductions 

March 21: Among the 2012 tax amendments are measures concerning:
  • Increased alternative minimum tax (AMT) rate for large corporate and high-income individuals
  • Extension of the production improvement facility tax credit
  • A lowered threshold on taxable profits from financial investment, for individual income tax purposes
  • Deemed income on certain related-party transactions, for inheritance and gift tax purposes

These 2012 amendments are described in a 2013 report [PDF 2.5 MB] prepared by the KPMG member firm in Korea: Tax Brief (2013 February)


The KPMG report also includes discussions of:


  • A Supreme Court decision, holding that if the requisites of a taxable gift are met, a transfer is subject to the gift tax even if there is no donative intent
  • A reduction in the deemed income rental rate for value added tax (VAT) purposes
  • Tax credit for facilities investment in quality improvement for pharmaceutical products
  • Net operating loss (NOL) deducted from retained earnings when calculating liquidation income



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