Korean Job Discussion Forums

[traxxe]

It appears our employer when paying our severance and airfare back to us has taxed both.

What is the tax rate supposed to be for severence if it is payed by itself?

Is taxing the airfare even allowed? That means some of the airfare came out of our pockets even though it is supposed to be a return flight home.

[Aussiekimchi]

There were whispers of the tax laws changing for foreigners to include this last year, but to my knowledge, it has not come in to play as yet.

Probably your boss pinching pennies.....heaven forbid that happening in Korea!

[sadsac]

No, they can now tax your final bonus, but not your airfare. You already pay a tax to the airline.

[traxxe]

What should the tax rate be for the severance then?

I'll make them pay us back for the airfair tax.

The severance was for the amount of 1,750,000.

[kprrok]

If they're paying you cash in lieu of the ticket, they could tax it. I'd even think they could tax the ticket as it's income for you and could be taxed as income. But, I'm not sure of that.

KPRROK

[Mi Yum mi]

If they want to claim it as part of your income...they can tax it.
They can tax you ticket, housing, severence or anything they 'pay' you for.

[chachee99]