[Korea Tax Common Sense Series 1] If you stay in Korea for more than 183 days, your tax classification changes.

Even one incorrect classification can lead to additional payments and penalties.

Classification criteria are days of stay (183 days) and center of living (family, home, workplace).
Classification is determined year-round, settlement is once a year (Comprehensive Income Tax May).
Organizing correctly now significantly reduces refunds and penalties risk at year-end.

Resident: A person living in Korea for 183 days or more or whose center of living is in Korea.
Non-resident: A person staying in Korea for less than 183 days with their center of living abroad.
Center of living (factual living relationships): The center of one's life, including accompanying family, home (rental/lease), workplace, or school.
Source income: Income generated in Korea. Primarily taxed for non-residents within this scope.
Local Income Tax: A local tax added at 10% of the national tax.

Is your stay in Korea this year 183 days or more?
Are your spouse and children accompanying you in Korea, and have they been continuously using schools/hospitals?
Is a house/lease in your name or a long-term rental maintained?
Is your main workplace or business in Korea, and is your salary paid domestically?
👉 If you answer yes to 3 or more items, you are likely a resident.

The scope of reporting changes: Residents report income including overseas sources, while non-residents focus on Korean sources.
Settlement is done once a year (Comprehensive Income Tax May). Even just keeping records can significantly reduce processing time.
An incorrect classification can lead to penalties, supplementary document requests, delayed refunds, and other losses.

Applicable Scope: 190 days stay, family accompanying vs 170 days stay, residence abroad
Key Difference: 183 days of stay + center of living (family, residence, workplace)
Actual Impact: Resident → Aggregate reporting of foreign income (potential refund/additional payment) · Non-resident → Taxed only on Korean source income

Sum up your days of stay for the past year (immigration stamps, immigration office records).
Gather proof of family, residence, and workplace (lease agreements, employment/enrollment certificates, health insurance eligibility).
Check your payslips for non-taxable items and the application of the 10% local income tax.
Note down the scope of reporting based on your classification (including overseas / Korean sources).

A: Stayed 200 days, spouse and children attend Korean school → Resident. Aggregate reporting of foreign interest income → potential refund/additional payment.
B: Stayed 170 days, residence and family abroad, short-term project in Korea → Non-resident. Taxed only on Korean salary source.

“Same visa means same classification” → Classification is determined by days of stay + center of living.
“If you exceed 183 days, you are automatically a resident” → Exception is possible if the center of living is abroad.
“Non-residents cannot get refunds” → If over-withholding occurred, a refund is possible.

For cases including foreign income, annual reporting and refunds differ (Click)

Tax Info