Korean Job Discussion Forums

[swoodman]

Hello, I am a teacher in a public school from the UK and I am entitled to a two year tax exemption.

Sadly though, the tax office in the uk wont give me a certificate of residency until december, at which point I will already have left korea.

Is it possible for me to reclaim my tax even if I am no longer in Korea?

My contract finishes in November but my Korean bank account will remain open after that point.

[swoodman]

Also, how much money would my tax exemption be?

[verloc]

If you had got the certificate at the beginning of your stay rather than the end, then there would've been no problem.

The amount of your tax exemption depends upon your earnings. Check here for more details: http://www.nts.go.kr/eng/ I don't know about reclaiming tax; perhaps giving them a call may help?

[creeper1]

If they give you the cert and tell you that you were resident there while earning money in Korean then guess what? You get to pay UK income tax which is much more!

Stop your foolish venture.

[Whistleblower]

The less you tell the UK HMRC, the better. If you haven't seen the news, HMRC are reclaiming unpaid tax and there are about 5 million people that have over/underpaid UK tax.

I agree with the previous post, don't tell them. You are asking for trouble. Just keep a copy of your pension contributions.

[chellovek]

What are you paying tax on? I've never ever sent a penny to the taxman whilst in Korea.

[stevieg4ever]

Is it true we are exempt from paying tax in Korea if we have this residency certificate and, if so how easy is it to get one?

Also, will this just unearth a wealth of new issues with the tax office in the UK because I have heard we are liable to be taxed even though we are out of the country. Is it worth all the hassle?

[swoodman]

[swoodman]

[liveinkorea316]

If the UK is like most other countries in the world (except the USA!! >_<) they will only be able to claim tax from you when you are "TAX RESIDENT" in the UK.

The general rule for tax residency is that if you leave the UK with no specific intention to return within 2 years then you will cease to be a tax resident from the time you leave. BUT there are some major exceptions. Your status as a tax resident basically is decided by which country you are "mostly in". This concept includes not only your physical body but also your possessions and importantly your immediate family. So to cut a long story short, although you might otherwise be a tax resident of South Korea, if you have a house, substantial investments or your wife and children in the UK you are likely to actually be still a tax resident of the UK.

Most young people that head overseas for new life and adventure on a one way ticket are automatically non-tax residents from their home countries. However older people with the above (what can be called catchments) are more of a grey area.

It is unlikely that you need to actually get a certificate to confirm your tax residence status because it is not something conferred by the tax office but something which is provided in Statute legislation. The facts of your case decide your status not a decision from the tax office.

However most people will go for the certificate from the tax office because it give certainty in a complex situation.

Hope this Helps. (I am not from the UK btw)

[liveinkorea316]

I don't understand why you would need to contact he Uk tax office at all. If you want to claim monies back from the Korean tax office contact them.

Do they require a certificate of non-tax residence from your home country in order to refund your taxes? I cannot see what difference it makes to the Korean tax office what taxes you pay at home. They have an agreement to waive taxes for 2 years for many public school positions is what I know.

[Capo]

we have a dual tax treaty so you won't be taxed twice. basically you can be taxed on uk income in the uk and korean income in korea.

I never showed my school a residency cert. I just told the admins I don't pay tax because i'm from the the UK and they don't tax me,...

[verloc]