Here are the South Korea statutory updates for 2024.
Effective July 2024
National Pension Limits Adjustment
The National Pension Contribution monthly limitations are modified every July based on the average national pension income over the previous three years.
The following are the updated lower and upper bounds that will take effect in July 2024:
| From July 01, 2023 to June 30, 2024 | From July 01, 2024 to June 30, 2025 | |
|---|---|---|
| Lower Limit | KRW 370,000 | KRW 390,000 |
| Upper Limit | KRW 5,900,000 | KRW 6,170,000 |
Source: NPS
Effective March 2024
Simplified Income Tax Schedule revision
South Korea’s Simplified Income Tax Schedule has undergone revisions for the 2024 tax year, according to Article 194 of the Income Tax Act’s Enforcement Decree, announced by the National Tax Service.
For families qualifying under this amendment, with dependents aged 8 to 20, the law mandates specific deductions from the Earned Income Simplified Tax chart to ascertain the taxable amount. These deductions are structured as follows:
- For families with one child: KRW 12,500
- For families with two children: KRW 29,160
- For families with more than two children, the first two are KRW 29,160, with an additional KRW 25,000 deducted for each child thereafter.
Should these deductions lead to a negative tax amount, it will be adjusted to KRW0.
Source: South Korea Hometax
