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100 FAQs

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Information on wage and retirement benefits, immigration and visa, transportation and driving, medical care and other civil affairs for foreign workers and multicultural families (married immigrants)

게시물 검색 폼 검색

Total : 100

A
•In case of converting private company (private business) invested by foreigner to corporate, you need to report the closure of business at the district tax office according to Foreign Exchange Transaction Law and also cancel the registration of local investment company according to section 3 of Article 21 under the Foreign Exchange Transaction Law and section 1 of Article 28 of enforcement ordinance under the same law

•After, in case of remaining asset from private company satisfies the foreign investment conditions according to section 2 of Article 2 of enforcement ordinance under the same law, you need to report the foreign investment according to Article 5 of same law and go through payment of stocks from financial institute to establish a corporate; finally register a foreign investment company according to Article 2 of same law.

•However, in case of no payment by cash but the contribution in kind to convert to corporate according to article 290 (particulars of abnormal incorporation) of Commercial Law, you need to submit certified copy of corporate registration, business registration and a original copy of certificate of foreign investment company registration with private company name to consignee to apply for change and registration of foreign investment company from private to corporate company.
A
• Foreign investment company is a domestic corporate established in accordance with the domestic law; thus, accounting and the closing account are independent from parent company in overseas and it is reflected by「Foreign Investment Promotion Act」and has to pay tax for all internal/external returns.
•Also, a foreign investment corporate may be exempted from tax in case of managing a subject for tax exemption upon the 「Foreign Investment Promotion Act」
•However, local branch (office) as a foreign corporate, should be treated same as the head office in overseas for accounting and its settlement. The law applied to this is「Foreign Exchange Transaction Law」and required to pay tax for returns produced in Korea only. The business fund only in and out through branch or main branch of authorized foreign exchange bank (designated foreign exchange bank), where you declared the establishment of the first branch
A
If a foreign investor didn’t directly transfer of carry money but 3rd person or deputy transfer or carry money instead, you need a document proving money is from foreign investor. (Item 1 of Para.1 of Act 17 of enforcement regulations)


※ Investment fund carried or transferred under the 3rdperson’s name should confirm money transferred is the investment fund from foreign investor ,○○○ reported on DD/MM/YY.
A
Yes, possible – When carrying such cash into a country needs to report to district customs and must issued with a certificate of foreign exchange declaration (confirmation). (Article 6-2, clause 4 of Foreign Exchange Transaction Regulations
A
You can directly report to 36 KOTRA trading braches in overseas or if not able to report by oneself, a deputy taking the authority for declaration and execution procedures related to foreign investment can report instead with a power of attorney

- In accordance with Article 21 under 『Foreign Investment Promotion Act』and
Article 27 of enforcement ordinance under the same Act,it should be registered
within 30 days after the date of reason occurrence (when completing payment).

※ A certificate of foreign investment company registration is required document
for foreign transfer of dividend and application for domestic business visa of
foreign investor.
A
▶ General benefits


• Guarantee of foreign remittance: A dividend and proceeds sale from stock and stake owned by foreign investor are guaranteed for foreign remittance upon the declaration or permission at that time

• Same as national treatment: Foreign investor and foreign investment company will treat equally as native for business except for special regulation on law

※ Will be given preferential treatment than native for tax exemption
or selection of location

• Exemption when reporting capital goods importation: For capital goods confirmed as a capital goods import item according to Foreign Investment Promotion Act is considered to be an approval of import by Foreign Trade Act, promoting convenience when reporting

• Exemption for investment in kind: Considering “Confirmation for completion of investment in kind” confirmed by the direct of customs as a “Inspector Investigation Report” according to Article 203 of Non-Contentious Case Litigation Procedure Act, reliving commercial procedure


▶ Tax exemption benefit


• If a foreign investor is a subject to be a business for tax exemption (Advanced technology business or industrial support service) established by 『Regulation on Tax Exemption for Foreign Investor』will receive benefits including exemption of tax and local taxes and location supports.

• Land, factory or other publicly shared asset (hereinafter refer to as “land and etc.”) owned by national or local government and public institute can be used, returned or rent or sold to foreign investment company (also applicable for no tax exemption business)

• When land owned by nation is rent out to a foreign investment company, the company will have tax exemption benefit can reduce the rental payment

• Tax exemption for following capital goods directly being used in tax exemption business and when imported within 3 years from the reporting date according to investment declaration by acquiring stock newly issued
- Capital goods imported as foreign or domestic means of payment invested
by foreign investor
- Capital goods imported by foreign investor for investment purpose.
A
A foreigner entered a country with a corporate investment visa (D-8) or entered a country with a temporary visiting visa or no visa and changed the sojourn status to corporate investment visa (D-8) should register at the district immigration office within 90 days from the entry date and issue with the alien registration.
※Able to apply for alien registration at the same time applying for change of status of sojourn.
A
• Because of compelling circumstances, a foreign investor entered Korea without corporate investment visa (D-8) issued and established a foreign investment company can apply for change of status of sojourn and change their visa status to D-8 at the district immigration office.
However, among Chinese holding a temporary visiting visa (C-3), a member of group tourists, individual person with visiting purpose only, a person holding a student visa (D-2), industrial training visa (D-3), general training (D-4), employed trainee (E-8), non-professional employment (E-9), other (G-1) and working holiday (H-1) will not allow to change their visa status to D-8.
It is a principle that the person entered in Korea to install foreign investment company need to issue a short-term business visa (C-2) from embassies and legations abroad prior to the entry and complete the registration procedure for foreign investment company to get an approval on change of status of sojourn to D-8.
•The documents submitted to apply the change of status of sojourn are application for change of status of sojourn, passport, a copy of certificate of foreign investment company registration, a copy of certificate for business registration or a certified copy of corporate registration (for corporate), written order for dispatching (employees and officials excluding the investor), office rental contract, a certificate of sales performance (records of export and import). (A direct of immigration office can adjust the document if necessary).
A
• A personal investor who invested more than KRW 100 million or required professional labor dispatched from overseas parent company of foreign investment company established in Korea can apply the change of status of sojourn to corporate investment (D-8) visa.


If dispatched as a required professional labor from overseas parent company of a foreign investment company established in Korea, the documents to be submitted for change of status of sojourn are application for change of status of sojourn, passport, a copy of certificate of foreign investment company registration, a copy of certificate for business registration or a certified copy of corporate registration (for corporate), written order for dispatching (employees and officials excluding the investor), office rental contract, a certificate of sales performance (records of export and import). (A direct of immigration office can adjust the document if necessary).
A
First, in case of foreign investor (private) invested more than KRW 100 million,

• Application for visa issue certificate, 1 passport-sized photo
• A copy of passport (general demographics)
• A copy of certificate of foreign investment company registration
• A copy of certificate for business registration or a certified copy of
corporate registration (for corporate)
• In case of carrying investment accounts into a country,
A declaration of currency or monetary instruments (issued from customs)
• In case of remitting investment accounts, history of remittance
• Certificate of purchased foreign currency
• Office Rental Agreement
• A copy of bankbook


Second, in case of dispatched as a required professional labor from overseas company of foreign investment corporate established in Korea,
• Application for visa issue certificate, 1 passport-sized photo
• A copy of passport (general demographics)
• Reason for inviting
• Dispatch order or proof of employment
• Resume
• A document proving required professional labor
(A copy of diploma, Certificate of career, or a copy of license and etc.)
• A copy of certificate of foreign investment company registration
• A copy of certificate for business registration or a certified
copy of corporate registration (for corporate)
• A certificate of tax payments

※ If necessary, other than documents described above, written permission for Chinese fund purchasing, Purchasing Certificate of China Bank, written permission for transfer (when direct transfer) from China Customs may be required.

※ Partial attached document can be adjusted when recognized to be required by director of embassies and legations abroad, direct of office or direct of branch