South Korea to hike taxes on large companies

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement


South Korea to hike taxes on large companies

s-korea.jpg

The South Korean government and ruling Saenuri Party have produced a revised tax Bill targeting large companies, which is expected to raise tax revenue by KRW1.8 trillion ($887 million).

The reform Bill includes changes to the tax cut limits for large companies, an increase of the minimum tax rate for big companies, and higher taxes on capital gains.

The Saenuri Party was elected in April, partly on the back of promises to raise taxes on capital gains and to repeal some tax cuts for large companies.

The increase in the minimum tax rate for big companies is a one percentage point hike – from 14% to 15%.

“Reducing the tax cut limits for large companies will contribute toward increasing tax revenue and promoting fair taxation,” said Na Seong-lin, representative of the Saenuri Party. “Toughened taxation on financial or capital gains also dovetails with the Saenuri Party’s policy direction to expand the source of tax revenue and lower the tax rates.”

more across site & shared bottom lb ros

More from across our site

It was also a memorable night for Galicia, KPMG, Skadden and Pinheiro Neto, all of which scooped major awards at a gala ceremony in New York
The former Deloitte UK CEO earned a 45% raise in a year when 1,000 staff reportedly lost their jobs – and the pay gap is only getting bigger
In a seminal development for big law, the 95-year-old firm is set to cease operations after a series of high-profile partner departures
UK Chancellor John Healey extended a VAT cut, suspended tariffs, increased a bank surcharge and vowed to increase funding for HMRC
Kristine Riisberg warned that TP decisions can determine top-up tax exposure under pillar two, while global consensus over the rules remains unsettled
Both Germany’s NIS2 and the EU AI Act now determine whether a tax function can meet its obligations – and both can make management personally accountable
Originators, loan purchasers and securitisation vehicles may need to revisit servicing agreements and pricing after a key judgment narrowed the VAT credit management exemption
Opening doors for existing talent within Baker McKenzie and a desire for enhanced legal capabilities informed Ricardo Perera’s switch from KPMG
Boaz Goren’s move to the upstart PE-backed firm takes the number of senior UK tax professionals who have left EY this year to 13
The allegations against Deloitte Cyprus raise uncomfortable questions about how far the big four can distance themselves from misconduct at member firms
Gift this article