Korean Job Discussion Forums

[pauly]

Hello everyone,

I am presently planning on going to Korea in January. I am eligible for an F-4 Visa and I was thinking about teaching private students on top of teaching at a hagwon. My question is, how do I go about paying income tax for income earned from teaching private students? I'm trying to figure out different ways to save money when in Korea, and since I get my taxes back when I go back to Canada, I thought this could be a viable way to help increase my savings by putting it away where I can't touch it.

[kangnamdragon]

I think first you would need to find out if teaching private lessons are legal for you. I would call the labo(u)r department or hopefully another person with an F4 knows the specific answer.

[pauly]

I was told that with an F-4 Visa, I had no restrictions as to who I could work for, including myself.

[kangnamdragon]

[Derrek]

Even Koreans are supposed to report their income somehow.

They can be busted for not doing that.

[kangnamdragon]

The OP is willing to report his/her income. I am just not sure that it is legal for gyopos to teach private lessons.

[Cacique]

[pauly]

I read that Canada and South Korea have a tax treaty and that whatever income tax I pay in Korea I would get back when I returned to Canada. Is this information correct?

[schwa]

The tax treaty means that Korean taxes you pay count against Canadian taxes due. The only way you'll get credit for taxes paid in Korea is if you declare your income here as taxable in Canada too. Have you compared income tax rates lately? You'll be way ahead of the game if you stick around here & declare nonresidency. But you'll never see that money in your bank account.

[pauly]

I must have misread that info and gotten the income tax and pension contributions mixed up. Thank you for your help.