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Strange School Tax Issue - Is this common?
« on: May 18, 2020, 12:23:00 pm »
So my previous school contract completed in February 2019.  I arrived in a new school in March 2019 .
My tax year for 2019 should be: January 2019 to December 2019 which means 2 months of my old school pay + 10 months of my new school pay
= 12 months of salary (same wage pretty much).

I'm not sure why they didn't file my taxes for me (the public school admin usually does this for you) and they gave you the papers telling you how much tax you owe or how much refund you'll get.  In my case, it's always how much I will have to owe because I don't spend more than 25% of yearly salary to get any refunds. 

Since they didn't file it in February, they told me I could do it myself in May (the second window).  But in May, you have to do this yourself, the school admin doesn't do it for you anymore.

So here we are in May and I'm filing them online with the help of a korean teacher.  I'm being told that my previous school 2 months wages + my current school 10 months wages for 2019 are being added up together which apparently has bumped me into a slightly higher category of taxes I think, either that or they said I'm going to be charged for 14 months of taxes not the usual 12 because it's May so maybe they include 2020 January and February?  I don't understand that.  They said it may seem like I'm going to pay more now because its for 14 months but next year's taxes will only be for 10 months and will be lower.

Is this normal or common? I've never heard of this before.   I don't know why it isn't just the same thing despite being at 2 different schools in the year?  Jan/Feb at old school should just be added to Mar-Dec at new school = 12 months of income tax filing.

Why was there a problem in doing that? 


Re: Strange School Tax Issue - Is this common?
« Reply #1 on: May 18, 2020, 12:27:54 pm »
Also, when I checked my hometax account, I saw that my personal expenditures (cash or credit card) was actually at 22.7%  which was just below the 25% requirement to get refunds.  So instead of getting some money, I'm owing money.    Do people actually try to spend a little more near the end of the tax year to bump there percentage to 25%?  Is that really a thing??    I figure the difference it would cost you to spend more to get to 25% vs the amount of money you'd get back in tax refunds is no difference or even worse. 

But I still feel like I spent a lot this year and 22.7% is a lot more than I usually spend but I don't get any tax deductions for that?  So if you spend only 18% of you yearly salary cash/credit or 24% it won't make a difference in your year-end tax settlement?   



Re: Strange School Tax Issue - Is this common?
« Reply #2 on: May 18, 2020, 01:11:02 pm »
You should audit your payment from the last Employer.

The reason being is that they should have deducted a minimum income tax withholding of at least 3.3% which should have been paid to NTS.  And your new Employer should be doing the same.  Only if you owe more money are if your home country does not have a tax treaty you will have to pay more.

The audit process is in this Reddit sub here:
https://www.reddit.com/r/Korean_Law/comments/fhw90m/korean_labor_law_most_foreign_employees_lose_1520/