Freelancer Income Tax & Refund Calculator
Last updated: 2026-06-25
Estimated refund = the 3.3% prepaid during the year (prepaid tax) − your actual income tax (including local income tax). A positive result is a refund; a negative one is a balance due.
Tax base = income − expenses − deductions; computed tax = tax base × progressive rate − progressive deduction.
Income Tax & Refund Calculation
Estimated refund
0 KRW
| Item | Amount |
|---|---|
| Annual income | |
| Business expenses | |
| Net income (income − expenses) | |
| Income deductions | |
| Tax base | |
| Applied rate bracket | |
| Computed tax (income tax) | |
| Local income tax (10%) | |
| Total determined tax | |
| Prepaid tax (3.3%) | |
| Estimated refund |
A reference estimate. It does not reflect tax credits (standard credit, child credit, etc.) or extra deductions, so it may differ from your actual tax. Confirm the exact figure with the National Tax Service Hometax or a tax professional.
How to use
- Enter annual income — enter your total income received over the year (the gross total before 3.3% was withheld).
- Enter expenses and deductions — enter business expenses and income deductions (including the basic personal deduction of 1.5M won).
- View the result — press Calculate to see the tax base, computed tax, local income tax, prepaid tax (3.3%), and the estimated refund or balance due in a table.
How Korea freelancer income tax and refund are calculated
Over the year, a freelancer usually has 3.3% of each payment withheld. This 3.3% is prepaid tax, and on next May's comprehensive income tax return you calculate your actual annual tax and compare it with what was prepaid. If you prepaid more, you get the difference refunded; if you prepaid less, you pay the balance due.
Your actual tax is found by applying progressive rates to the tax base. Tax base = income − expenses − deductions, and computed tax = tax base × rate − progressive deduction. A local income tax equal to 10% of the computed tax is then added.
| Tax base | Rate | Progressive deduction |
|---|---|---|
| Up to 14M won | 6% | 0 won |
| Up to 50M won | 15% | 1.26M won |
| Up to 88M won | 24% | 5.76M won |
| Up to 150M won | 35% | 15.44M won |
| Up to 300M won | 38% | 19.94M won |
| Up to 500M won | 40% | 25.94M won |
| Up to 1B won | 42% | 35.94M won |
| Over 1B won | 45% | 65.94M won |
For example, with income of 40M won, expenses of 10M won, and deductions of 1.5M won, the tax base is 28.5M won. That falls in the 15% bracket, so computed tax = 28.5M × 15% − 1.26M = 3.015M won; adding 0.3015M won of local income tax gives a total determined tax of about 3.3165M won. If 1.32M won was withheld as 3.3%, you would pay about 1.9965M won more. Larger expenses can flip this into a refund. For more, see the Korea freelancer 3.3% and income tax refund guide.
Frequently asked questions (FAQ)
How much freelancer 3.3% refund will I get?
The refund is the 3.3% prepaid during the year (prepaid tax) minus your actual income tax. If your income is low or your expenses and deductions are large enough that your actual tax is less than what was prepaid, you get the difference back. If your actual tax is higher, you pay the balance.
What is the income tax formula?
Tax base = income − expenses − deductions, and computed tax = tax base × progressive rate − progressive deduction. Rates are 6% up to 14M won, 15% up to 50M (progressive deduction 1.26M), 24% up to 88M (5.76M), 35% up to 150M (15.44M), and so on across eight brackets. A 10% local income tax is added on top.
What counts as expenses?
Costs actually spent for the business (materials, rent, communications, outsourcing, transport, office supplies, etc.). If you keep books, your actual expenses are recognized; without books, expenses are estimated using the simplified or standard expense rates. This calculator uses the expenses you enter directly.
Does this calculator match my actual tax?
No. This is a reference estimate based on the progressive rate structure. Your actual tax depends on tax credits (standard credit, child credit, etc.), extra deductions (national pension, mutual-aid, etc.), other combined income, and any penalties. Confirm the exact figure with Hometax or a tax professional.
When is the income tax return filed?
You file and pay comprehensive income tax on the prior year's income (Jan–Dec) every year from May 1 to May 31. Taxpayers subject to honest-filing verification have until June 30. Refunds are usually deposited within about a month after filing.
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Last updated: 2026-06-25