Korean Job Discussion Forums

[meangradin]

A friend of mine just called me (I own a school, so he thought I might have some information) to ask if there have been changes to the tax laws. Briefly, he was sent to the local tax office who gave him a bill for 1.1 million won. He was told by the tax officer that because he makes over 2 million a month, he has to pay this sum. Has anyone else heard of this? I suggested that his school didn't pay his taxes and he was been given a bill for the whole year.

Any ideas?

[ttompatz]

If the school had been deducting tax from his salary then there should be a record at the tax office of all the remittances.

If they have the remittance record and it matches what the employer deducted then pay the bill.

If they have no record or if the employer didn't deduct the tax at source then pay the bill.

If they have no remittance record AND the employer was deducting the tax then file a complaint with the labor board AND the tax office.

* it does sound like either the employer either:

a) didn't remit or didn't deduct since 1.1 million is about the whole bill for 2 years worth of taxes at a monthly salary of 2 million.
or
b) declared the employee as a self-employed contractor rather than as an employee (double the rate) and left the employee out to swing.

.

[quilter]

This same thing happened to me and a few other teachers at our school a few years back. I went to pay my taxes at the tax office and they dinged me with close to a 2 million won tax bill. I phoned my supervisor and was told not to pay. We hired an accountant to file for me for about 200,000 won and I ended up getting about 1.3 million back. The tax office is not looking out for your interests, but the accountant is. These guys know all the tricks on how to get the best return for you. I would go that route.

[meangradin]

thanks ttompatz, yet again you provide invaluable information