Korean Job Discussion Forums

nomad-ish · Posted: Sat Feb 09, 2008 9:22 pm Post subject: Tax not deducted by employer

i recently got all my pay stubs from my employer (a public school) and realized that no income tax has been deducted. i believe the tax filing season just ended. what should i do now? i'm going to talk to my co-teacher tomorrow, but she is clueless about everything regarding FTs. is there a way of filing individually this late, or does my school have to fix this?

thanks for any useful comments

agoodmouse · Joined: 20 Dec 2007 Location: Anyang

Are you an American or from one of those countries where there's a tax treaty stating you don't pay taxes for your first or two years?

I know Americans don't pay Korean income tax for the first two years.

nomad-ish · Posted: Sat Feb 09, 2008 9:58 pm Post subject:

boyne11 · Joined: 08 Jul 2007

In that case, do you want to pay all of your back taxes?
If so go ahead and tell them. They'll fix you right up and take your money. Laughing

If not, just keep quiet, finish your contract, and go home. I'm sure Korean tax service ain't gonna chase you down in Canada. Wink

nomad-ish · Posted: Sat Feb 09, 2008 10:17 pm Post subject:

^ trust me, the thought had definitely crossed my mind. but i'm more worried with what might happen if i come back to korea this summer for another job.
and the bank has told me that in order to transfer money abroad they need to see my pay stubs (although maybe they meant if i didn't want them to stamp my passport next time, to bring my pay stubs...can't remember).

boyne11 · Joined: 08 Jul 2007

I'm almost certain that nothing will happen since you'll have a new ARC number.

And banks don't care whether you paid your taxes or not. They just want to know if the money is legitimately earned.

jbpatlanta · Joined: 02 Jun 2007 Location: Daejeon

FYI: Just so you know when you cancel your visa and reapply for a new visa you do not get a new visa number. You keep the same number. I have been here under 4 separate E2 visas, and a F2 visa, all of them have been the same number.

nomad-ish · Posted: Sun Feb 10, 2008 2:07 am Post subject:

according to the online korean tax calculator, i owe under 100,000W.

do you think they'll deduct everything (as it should have been) and then issue me a refund? what sort of penalties do you think they'll add onto that?

nomad-ish · Posted: Sun Feb 10, 2008 6:58 am Post subject:

georgewallas · Joined: 26 Nov 2007

The penalty for non payment of taxes is a joke. Something like 2% of the tax owed.

a)the employer is pocketing the money, which in your case, he's not. So you shouldn't care.
b) you are tax exempt in your home country - as an American I am tax exempt under 84k$ US, and I am eligible for a full refund here.

If you are exempt of the need to file taxes in Canada, pay the whatever, and make certain the forms are sent over to the CTS.

Since I have a double whammy of dishonest employers, as well as exemption and 100% refund status, I am being very forceful regards filling and getting my refund.

chachee99 · Joined: 20 Oct 2004 Location: Seoul Korea

I found out that my school did not deduct taxes from my paychecks at all last year. As a result I'll have to pay. However, the damage is only about 125,000 won. I can live with that.