Starting a Business in Korea Crash Course
Right. Welcome, to starting. A business in Korea the free crash course and this is from entrepreneur, Korea calm, my, name is Tony choy aka, Tony teacher and I, am a small business owner while I was because, I have, sold my last business in South Korea and, I've created some businesses and I have been an entrepreneur in Korea for a while now and I'm. Here to share. With you a little bit of what I know and if, you want more information on any of this stuff you, can go to the website as I, go more in depth on each section here, but this video. Will give you a good. Overview of, what to expect as a business. Owner in South Korea or as someone who wants to start a business in South, Korea one day before I start I just want to preface, and make sure that you know that I am NOT an accountant, or a lawyer I'm just sharing from my experience, as someone who has started and sold my own small businesses in South Korea so, please please consult, a professional if, you want further explanation, on anything. Of. The legal or tax related information shared in this presentation or anywhere, on entrepreneur, Korea comm so the, types of businesses you can start before I begin I just want you to, just think about this do, you even have a good product or a service right. So you need to have a good product or a good service before you can start a business and it, can be whatever now, if. You look at this photo is a photo of me and, if you look here you, can see that, this. Is this. Was my English skills it's also international. Global leader that's the name I came up with yes two words that mean the same thing, I gave it this uh just. To give it some you know some excitement, I guess you know it worked you know one person is like oh it's your school still great its international, and its global right and I'm like yeah you're right so, anyways we were pretty much closing up and we, were ready to move and focus, on a flower gift Korea which is another business that, I owned, and recently. Sold so. This, is just a photo and the, reason I put this photo is because this, guy right here me I am the product right I was a teacher and I, was a good product at least people, thought I was right, I made a lot of mistakes trust. Me I was like ill-prepared, for so many things I didn't even know how to pronounce certain words and some kids even, taught me some things about, reading. And some vocabulary stuff, that I didn't know so if I can do it you can do it make sure you have a good product or service or at least people think you have a good product or service so another. Question you need to ask yourself is can you even start a business right this. Is very important, if you cannot even start a business meaning you are not allowed, to like, you don't have the right visa then. You can't start right away but you're going to need to plan right you need to figure out how to get the right visa so, if you technically if you have an, F Series visa like a F 2 F 3 F 4 then, you're. Pretty much fine you can start you, can legally start a business another. Visa that will help is a d-10, -. Or just even just a d-10, probably, they. Might have shortened it by now I'm not sure but, this is an investor. Visa for, this you're going to need some money like I believe it's about 100 million won or so that. Might have gone up or down and. D8. For, is the, invest, our, top visa and this. Type of visa you can get by getting, a series of points, like if you have, a certain score on topic, topic is the test of proficiency in Korean, it's like the the, Korean. Test or if you have a certain score then you get some points if you take some courses. At the Seoul global standard you get some points and that helps, you get. This visa, which is a startup visa so. That is, that. So, make sure you can start, a business obviously, to. Have the skills as a business, person but you, know just to even be legally, allowed to you, know having the right visa, so. Yeah, like this is now we're back to something that is actually, similar. To our title, just, types of businesses and we're, talking about types of businesses that, like. The legal types of businesses and, this I'm gonna tell you it's not too important because whether.
You Know this information or not is not really that important, but I'm just giving this information just to give you an overview so, you feel a little more comfortable there, are two types of businesses that. You can start in Korea pretty much there, are probably others but. This is the Kanes help job right, and that is the, a, sole, proprietorship, or the sole proprietor, and we. Have a pole beans help job right. That's, the corporate business help. Job means. Business person, or business owner right because if you add the cha at the end of some words it becomes a person, and then. We have here three. Categories. For the sole proprietorship and two, for the Pauline, now. The first one which, is the same is the eben. Class a job so, eben caseta is the. General taxable, person, business, owner and an. Example is an online gift shop like flower gift Korea that was an inbound pass a job business a convenience, store would be under a bank, hostage our business unless it's like really huge and it's just like one of many then it might be poking, Salcha so, it depends on bunch, of factors and also. The poppin top, Joe has the same type of business which is an Avon quasi job and the. PO bean there are some differences and I. Won't get into that and for. Example Samsung will be considered on pole beans ha cha and Kia these, big businesses, are usually, poking salt just like any. Any business that has like, stocks. And, you know they have their shares, like, businesses like that right, the. Next type is dumb Young's his help job Yonsei means no tax right so they don't charge tax these types of businesses an example. A good example is the English kilt of soul which, is which. Is the business I ran, for, close. To four years called, il English that, was, a business that I couldn't charge any taxes, and all, that and that was good I guess because I couldn't charge dat, tax that means I didn't have to pay the eighty tax right and you. Can have them young to help job as well for a pole. Beans helped out as well and this is case by case because, and there's, so many factors. Involved, that, I don't even understand, so you have to talk to an accountant, if you want more information about that or, a lawyer and. Now this is a very important, a very interesting have, a business this is a connie quasi a job okay, so I, looked, on Naver and it said simplify, taxable, business, person. Or business owner and I, think, the word undetermined. Is better because, pretty much this. Is like case by case specifically. Case by case and depending. On the type of business it is it depends. On how. Much money you make like you need to make under a certain amount of money to be considered, a Connie Connie quasi Joe. And also, you're. Not a lot of charge taxes for, most businesses, so. To qualify, there, are some things so, I guess. They're for like really small businesses, that don't make much money that. Would be then. If that's you then you would be in, this category okay so. Let's go to the next now. This, is flower gift Korea, this. Is a business, the most recent business that I started and ran and, this. Is an example of you. Know what it would be which category so it is a Cannes Helga, right which is the sole muscle, proprietor, and it, was a eben quasi job because we, had to pay taxes, we also charge taxes, on certain products we didn't charge taxes on all of our products because plants, and flowers, are not supposed to charge taxes. But. Things like stuffed toys and chocolate, you know you charge taxes, on that so, we were we. Were also I guess we were considered. Ambiences how. To write. But, we didn't, charge. Tax on certain things and we're, technically called a coma which is like, we're, two categories. Okay, so anyways that's just more information that you don't really need right now and most. Importantly, I want you to see, this and don't worry too much about the, terms it's. Very important, because what. Do you know these terms are not is not that important, right what's more important is you need to have a good product and, make. Some sales man alright so next.
Category. Is registering. Your business first, you need to find out what documents, are needed and. If. You want to find out you can go to the tax office and ask them and this, is the the. Same Musel a seamless. Oil is a tax office, and your sum is the area near Gangnam station, so. Cho samseong. These. Are not too far from comma - yeah Samsung is its own station right and, this, but this tax office that, you can see here it says cookset chun baek. Basically. There's a tax office there and and, this. Is near, Gangnam. Station so, if you walk out I don't, remember the exact exit but if you go to our website entrepreneurial. Calm I do share exactly how to get there from. Kangnam station you just go one of the exits and it's like pretty, close from, the exit and so. If you don't know you can go here you can ask you can go to their website you can and, try to find out more information so. You need to figure out what doctors are needed and they'll point, you in the right direction they'll tell you okay if it's a killer so English. Nostra so then you need to go to the, education. Office that you're thinking of starting your English skills and slow business and then, you need to ask. Them for the exact documents. Here's my English Joseph so license, and this. Is the license that I had. When. I was. Having. My when I had my gel English and you can see here sorry, about that IG L uomo key up so that's the name of my business and that's, me right there and. This. Is, stated. From the. The. Kangnam education, office so i had to go there and i had to give my documents, and i had to get this license, and. If you if you look here it tells the name of the license. Here and. Basically. I had, to get, this license, in order to start, my business so i had to bring this paper, to, the tax office okay. Now once you get the necessary, documents. Then you go to the tax office and you get your business number, and if. You look here you, can see the name of the business that I started which was smart, trade Korea and, this. Was a trade business that I started and. Basically. I was going to grow it after flag of Korea like once I hired, employees but anyway that's another story but this. Is. A business registration, number here's, my business registration, number right here five one seven zero six, zero zero nine nine nine and. Every. Business number is different you get your own business number and it's very important because this, number is pretty much how the government. Tracks you when you have to pay your taxes right so it's very important for. Korea, so they want to make sure you have this if you are operating business, without a business, registration, number you can get in big trouble even, though I know people who have done it and got, away with it but but.
Technically You need to have it so, make, sure you have the right documents, and you go and the, great thing with this business since it was a trade business and we just did exporting, what we're going to do exporting, we. Didn't need any licenses, which, is different than the kills of Seoul license, so like, when I got my killable license and I applied I had to bring that to, the tax office before if. You're exporting, or, if you're doing certain types of businesses that don't, really need a business space or don't. Need some kind of license then, you you don't even need it you just need to bring your ID to. The tax, office and you can use, your house address so if you look here this, is my house my, house address all, right now we're talking about renting business, space. So. The first question you to ask yourself is do you even need business space this is a very important question because maybe, you don't want to be spending a million won on space. That you may not even need right but. It's up to you, once. You figure out whether you need business space or not then, you need to figure out where, you're going to find that business space and location, location. Location is, very important, and, if you look here on this, side this is ace hunga which is a commercial, building this. Is filled with lots of hot ones small hot ones and my, English skills resort was located in this exact, Tonga and if you look on this side you can see there is a school this is an elementary school where, a lot of my students came from and you can see right here there's an apartment and if, you can just see right here you can see the apartment, peering out and even, on the other side of the street there a lot of apartments so I chose this location because it was good for, my English skills uh so business, so, you want to find a place that might be good so. Once you find your place you need to go through a Budong sign technically. I guess you could try to go directly, to the business. Of the building. Owner but I. Advise. Not to because you never know if you can trust them or not so.
A Presumption is a real estate brokerage, and inside. They they're probably one or two people in here, who. Are waiting for you to ask them about, about. Office, spaces in the area. So. More. Importantly then, the, Guto someplace put. On some place sorry you. Won't probably know how much do, they charge right, and of course the the. Rent rate it depends, on the area and, the. Type of space, you're looking for and how big it is but what I can do share of what I what I can share is how much, the real estate agent, will ask you as a fee because. They charge, money so. And, in, the difference with Korea and other countries the. Buyer, also pays a brokerage, fee you have to pay a fee and I know in Canada in the u.s. is only the seller that. Pays the. The real agent button created the seller and the, buyer pays. And. So in this example I, will show you some office space for us hanga in Sangala. Is a commercial building as I shared in the image below so. Basically, you. Just get your monthly rent and you, multiply it by 10 another 100, and then you add it D added to the deposit, fee the deposit fee is the money you get back right and then, you multiply by the percentage, that is sent by the real, estate agent so, legally. Real. Estate agents can charge, 0.3%. To, 0.9%, it, depends, on the, type of office. Space that is, involved. If it's, residential, or commercial the. Percentages, there, are different a little percentage but there's it can go up a bit or down, but this is the full range and. We'll. Just in this calculation. We'll just use the, maximum 0.9%. Now. Let's. Just say the, rent cost, 1.5. Million, watt right this is the rent. Right. Okay you already know from there and then, we multiply that by a hundred and then, we add it to 15, million 1 which is the deposit and then we multiplied by 0.9%. We. Owe the real estate agent, one, point four eight five million one and that. Is the fee that would go to him or her, if you, do end up making, the purchase right, so if you don't make. The purchase then obviously they don't make any money and. You don't lose any money but you don't have enough space now. We're. Gonna go into signing, your lease so. The. This. This. Part is the, actual contract okay, and. Basically. The contract will have your information the. Building. Owners, information and, the brokerage information, and then, there'll be a lot of signing, well in Korea they use stamps, right and they layer, it with the other copies, so that each person. Involved, gets a part of the stamp and there. Are a bunch of things. That are written in the agreement, I. Won't. Go into that and this, paper right here is pretty much a payment that we made. Earlier. And. This. Was like kind of like a signing, fee pretty, much 1.5, million won I don't. Know if this is legally. Required for every type of office, space but we I guess we thought we had to do it because they told us we had to do it we, don't have to do it when we got our flowering of Korea space, so. Oh, no. We did, actually yeah we did we had to pay something so, yeah we you have to pay something so they know that you're you're, serious, about it all right and then when you leave your business space you need to make it look like the way it looked before you. Arrived or you. Can have an agreement with the new. People. Who are moving in so it's I guess, it depends on what is needed, all, right next, number four is accepting, payments.
And. This is another important question do people even want to pay for your product or service so these questions I'm asking you at the beginning of each section like that you should see like a common theme here like you actually have to have a good product or service to do your business right or no one's gonna pay you so. Anyways a, the. First payment type we have here is our card machine this. Was the, one we used that flag of Korea and you. Put it you can put the card in here and then, they sign it you put in the amount and basically. You need to we. You technically, legally, need to have one of these in your business whether. You. Have her or not so, this is one type of payment method the card machine and, you. Can or you're supposed to register. This, card machine with your business registration. Number right so that's something you need to remember another. Payment. Type is the paypal this, is just a screenshot of PayPal and I don't own PayPal or work, for them but, it's something I used when I was using Florida Korea and I know that the new owners are still using PayPal so, it's, a great way to get, some paid online payments from all over the world receive, payments from almost every single country the, next type of payment is bank. Transfer, in cash so. Bank transfer is quite simple. You just give the person your bank account. Information and, they send you a deposit, and. For cash you know they give, you money and you. Need to get one of these receipts, here so. This, is a receipt, Jung soo-jung which. Should not be confused. With, the. Chungcheong-do. Myung soo Jung which is for income tax prep I guess. Yeah, so it's a little different and you know I'll go if you want to know more information about that I can explain in another video or in a blog post but, this. Is pretty much the receipt that we use when someone comes into our shop, and you. Can see here it's my wife's name Jo and Jung because the business was under her name and at. One time I was I wasn't under it and at one time how was a co-owner, yeah. So, anyways. That's not really important right now and basically, you. Have to write your information, in like this is our business number for flowergyaru well it whatever when we owned, it and. Basically. We write the date, right. Here and, we write the total amount and then, we're supposed to write what, it is. How. Many you have how. Much it costs, and then the total price, right so. Your, so if someone asks you for Jung soo-jung you give this to them and I. Mean. Most importantly if if it's if, this. Receipt. Goes, over, 30,000. Wrong this is a magic number for these types of receipts and these we call these akane Jung soo-jung okay, like these are just like. Receipts. That you you could I guess yeah you could include this in your income tax actually and.
Basically. For. Income tax purposes for. Your business or whatnot and you can. Input. This whatever. If it's less than 30,000 won you can just input this and keep this receipt as a record and that's, your your, receipt but, if it's over 30,000, won this, receipt actually, becomes, void. It, means nothing in the tax world so something. Very important to know, so so. Sometimes people well, like I saw someone buy something, it was like, 35,000, won and then he just told. The. The, merchants oh can you just make it 30,000 won because he wanted to report, it and he didn't want to I guess, he didn't need to 5,000 extra like you know so a lot of information but we're gonna just try to go through this quickly, and most importantly, make some sales right, you need to make some sales make some money one. Thing I'd like to say is if you are not making any sales but, you're helping people you're, not a business, you are a charity, right and which is fine if you want to be a charity but um. We're. Trying to start a business here and make a living for ourselves, all. Right so tracking your sales and expenses so, important question should I even track my sales and expenses of, course you should right most most importantly you. Want to track your sales and expenses because of tax purposes and. Also you want to know where. To cut. Your expenses and where to cut or where. To focus your efforts in marketing, and what not right all, right so this is an online, payment system record. And this, is for as you can see here PayPal. And this, was for a time when. I was, running, Flavius Korea. Early, in our business and it, keeps the track of all the sales and, all the transactions, that you do so that's. A good thing with the payment options, that you have that. The, online payment methods, because, you can just download. Spreadsheets. Or whatever, kind of documents that have the information this. Is our website, system sales records, and. This. Was I used a program, called WooCommerce. Which. Is used, on well, it's a plugin that use, on the WordPress, platform and, this. Is sales. You, can see the sales just for a span. Of seven days we did pretty well at this time and, it's, great because you can see how. Many sales you made how much you made on specific, days and, basically. It. Shows you here. A, summary. Of. The. Date, range, that you choose and if. You buy certain. Extra. Plugins then you can export. The file in a spreadsheet. WooCommerce. Is actually, free to use but, they pretty much make money from the other add-ons that you will most likely use if you actually start making sales, so, that's.
But, It's a good thing because you can download all the information all the order information and as well as the. Customer information, now. Here's our sales and expenses, spreadsheet. That we use for eye gel English. The exact one and we. Here, we have it organized. As here's a month the, day so this is March 2nd, then, here is the information what we either. Made, or spent. This. Is our the, money we made and this. Is the, expenses, Cheechoo in Quebec where a teacher she. - it is like an expense, kumuk. Is the amount and so. These you can look here summer soup your sweep, your March, to, ition fee or fee. For students we. Have here Chum machine Just Lunch and, a bunch of other things so. This is an expense and so. This is how we kept track of our. What. We were spending and, how much money we're making and you. Should always keep, track of how, much you're making and how much money, you're making because how, much money you're spending because. You want to see how much money you keep I mean if you make a million I'll go if you if you make a hundred million one but, you are spending 99, million one of that on business, expenses then you only make 1 million one right so, that's something to really keep in, your mind and. This. Is for igl English but. For, flour get Korea there are a lot more sales and, there. Are, different, categories because, we also charge, taxes, so. It's a little different depending on the type of business that you will. Be running. Now. The, most important section I guess or the scariest, section right and this, is very important, I am NOT an accountant, or a lawyer case, so please, please you. Know do, do, some research and you know ask Aksum ask someone, who's a professional right but, i'm shank for my experience so i do know some stuff ok so. Now. Are you afraid of taxes, ok this is you. Know you might, be afraid of fact it's like I was actually I was afraid like I'm like I don't, know what taxes I'm supposed to pay like if I start a business what if I have to pay all these taxes or what, if I break all these laws and, all this stuff right so I was really afraid. Now. Don't. Be afraid cuz, you just need to know some stuff it's really it's not that hard well obviously yeah you're, gonna have to pay an accountant maybe to help you but it's, not that expensive like you can for, not making that much. Less than I would say less. Than a hundred, million won a year or maybe less than 70 million warrior depending on size business you, can pay a one-time fee of about a hundred thousand won or 100 anywhere, from 100,000. To 200,000. Won to, an accountant to do your taxes for you they're, not it's not that expensive right, now. You, could report your own taxes, this, is the home, tax website. And this. Website pretty. Much you, can go in and you can enter, your. Taxes it's like so for example when I started. My very first, business which is Tony teaching, incorporated, in 2012. It, was my business, consultancy, which I started. When I had zero business, experience, pretty much but you know there are a lot of people who are starting, their own business, consultancy.
With Very little business experience but anyways I made. 2-0 sales on the first year well technically, I made some because of Business Network Korea, I made some sales. Through. Charging. For admission fee but. Technically was I just said it was zero because it wasn't that much and. Somewhat somebody called me and then they're, like oh you have you didn't, report your taxes on the hall I'm so sorry like you don't think they call me listen it was scary they're like hello, this is the National Tax Service right and they're talking in Korean on the oh my goodness like okay what's, the problem and they're like well you, didn't report, your taxes and I was like well I didn't, make any money and say okay well okay. You know what I'll put zero you next time if you don't make any money you start to put zero I'll do it for you this time and he just did it for me and II hung up it was like it's, like so not. Scary, anyway. So yeah, that's a tangent but I thought you know it was an important tangent all right so now we're at income, taxes, and these are taxes that every single business, has to pay whether you charge a v80 or not and this, is what even employees, have to pay right if. You were teaching English, you paid income taxes and. Basically. This is showing you. Which. Tax. Percentage, you will be you'll. Have to pay on a certain amount and, before. We talk about that I want you to just highlight this very, important part this. You, were taxed on your business profits, and business. Profits, are your. Revenue, so, whatever sales you make -. Your bill expenses. So, you need to talk. To your accountant, and figure out what types of things are business expenses you know like rent that's the business expense, if, you buy so. If you have a restaurant and you buy some ingredients those, are all. Business expenses, if you buy furniture those, are those, are I believe. Those are depreciating. Expenses, so, it's. Important to talk to an accountant, to who. Can help you to figure out how. Much profit you will be taxed, on so, let's just say you. Only, made, a 12 min one profit, in your business then. 6%, of that 12 million won would be paid to the government if you had no tax deductable, now. If. You. Make. 46. Million won let's just say make 46, million won in profits, you. Will not pay 15%.
On, 46, million won, you would pay 15%. On. 34. Million won and then. You would pay 6%, on the first 12 million won and then, you do the math and that's the how, much you would owe and, obviously the, more, money you make the more taxes. You pay and, this. Is for sole proprietorship. The sole sole sole proprietors. Now. Let's talk about po beans help job which is for corporate, businesses, and. Amount. Up to two hundred million, won, you, pay 10% in income tax I don't. Know you don't write the business does because it's a entity. On its own and. Then. Any amount from two hundred million won to two. Hundred billion won, that. Would be 20%. So. Not. On all of that is 20% right the first two hundred million won is 10% and then anything, past two hundred billion, won is 22, percent and that. Is assuming you don't have any other tax. Income. Taxable, deductions. Next. Slide so anyways I wanted to just go over pretty much what. I was explaining what the tax because you might be a little confused so let's just say a Keynes help job a sole. Proprietor, has a profit of 100 million watt and yeah that's pretty good year because, that's after business expenses, right so, pretty, much on, million, won you would pay 6% which, is seven, hundred and twenty thousand won that's how much income tax you would owe if you. On. The first twelve and then from thirty four it's 15 percent you, owe five, point 1 million won and then from 42 million by 24 percent you pay ten point zero eight and then the next, twelve cuz in, the 35 percent bracket, you, pay four point two million won and you. Don't pay any at thirty percent could you don't make enough now. If you, had a business profit up a hundred million won you, would be paying twenty point 1, million, watt like Wow it's like I don't, know how much percent, yeah twenty percent pretty much mine comes when it taxes but. That's. You. Know if. You, don't have any tax deductible, and if you aren't very creative with how. To do, your, accounting. And that's why we pay accountants, to help us I'll I'll talk a little more about this if. You like please. Comment to ask questions and. I'll. Make some other, videos if you really like to anyways. This is the value-added tax, dat, so. Basically. This is a receipt. And on. What what I want you to see here is the proof, katisa puga, say so. For short we we take out the catchy, so, people you just you should just call it Peugeot see like how much is the progressed a pretty. Much for small items like if you go to the restaurant and buy some tonkatsu or, something then the the. Progressed at the VA T is already gonna be included, into the price that you'll see in the menu but. For larger items like air conditioners, cars. Whatever. Interior, design fee they. Don't charge, you they don't quote. You the, feet with the VA T because, pretty much they ask you if they if they want to if, you want to pay it or not maintain agree they're supposed to charge you but that's, just the way it is in a lot of a lot. Of aspects so the small business world so anyways, that's ten percent VA t value-added. Tax and, this. Is an expense. Receipt for. Some, items. That we bought when, we were running fire gift Korea and this. Was the price before. And then with a VA t you, can see here is, heck this is the amount, of tax the, final is. 6151. And, this. Is a very important, this is an expense receipt when, we when. We declare. Our v80 taxes, and, if, you are running a, like a kombucha, or Curacao, then you don't have to report, dat taxes, because you technically, are supposed to be charging pay T taxes, so. Basically. Vit you. Pretty much have. To pay what. You also like if if. You sell more. Vit, than you receive. Then. That, is making sense yeah if you like. Sell right and you receive money for dat and, but. You don't spend, that v80 and it doesn't balance out with spending, then you have to owe the, difference, to the government if, you spend more vit on, expenses. Then, you made then you get that vit back, next. Page oh this, one is a juicy, one that maybe. You like tax, deductions, income tax and, remember, I'm not an accountant, but there are ways to deduct. From your. Income tax and this, you can see my name here choy Antonia, yes my name is Antonia as I mentioned well, just call me Tony though but yeah so.
You, Can see here this is how much we contributed, to and this is a tax-deductible. Savings. Account and the. Great thing about this was we. We. Got, some interest so, over. Three years we paid nine million won and at. The end of three years we, got. Not, this much but this much which, is still pretty good, because. The best thing about this was every. Year we were allowed to pay. Up to 3 million won and, that. Was, all deductible. For my income tax which, is amazing if. You ask me but you can own you can't take this money out unless you're you close your business which is what we did we closed our gel English to focus on flowering. Of Korea and we. Didn't know about in the first year some, guy just like walked in like you know how like people walk in a Salesman, they want to sell something and like we thought oh but, my. Wife Brandi, she knew about this, organization. It's, called like yellow umbrella, or something like that Noren, Busan and I. Don't know if they still have it now but. There are like these types of savings. Account type. Of, organizations. That help small businesses, so, yeah that's so she she she, heard a commercial summer and then she did some research and then the guy walked in like a few, weeks later and then we pretty much signed. Up for it and it's it was a great investment I just. Want to show you so remember, we, did this this breakdown of let's, just say you owed a hundred million 100 you, made a hundred million wanna profit and then you technically, o twenty, point 1 million won this is how, much you're supposed to but. You see here because of the savings account. We, pay three million won so look, at how much should we need to pay now so. Easily. We easily deducted, three million won from our income taxes and this, money we got all back plus some interest which i think is great so you need to look into doing. Some research on finding some of these types of savings accounts that can really, save, you some money, in your income taxes right talk. To a Korean person um. I know, some, so if you want maybe I can do some research with, my wife and make a video or make. Some blog posts if you like these. Are some other tax deductable, we. Have the congas. Hancock B which is deep reiation depreciation. Like I believe. A car could be depending on the type of car and what kind of business you have, computers. Furniture. And a. Bunch of other things I believe, might be then we have the chopped Debbie which is entertainment, tax deductibles, which I really don't know what falls under there then we have the pony. Who thing B which is the employee benefits, we. Didn't hire we just hired like part-time. Workers. So we don't really know much about this and. Then there's income B which is the labor cost and then there's some others and, obviously you need to talk to an accountant to. Find. Out more about this stuff and, these. Are some important, dates to remember this, is tax time and. There. Are five dates but. For vit there are four so but let's just, let's. Just look at the income tax so income tax everyone has to do that in May right, so around Maine there's a date I'll, do some research and figure out what the exact date is and then. There are four four vit technically. There are just. One. And to. But. If you, get to your second, year of business you. May Tate you may you. May pay a prepayment. Fee for, July, and then. They pretty, much estimate, how much you would altogether. In July so, you pay a fee. At this time and then. If there are if there are any remaining. If there are no if there is remaining, money that, you owe then you have to pay or, if you overpaid, then you have then, you would get a return in July right. Same. Thing here. For the. Second, payment you do that in October the, prepayment and. You. Would do, the official, payment in January, and it could be either a payment, or a return, and the, reason this number here too is the basis.
On Your previous year so if you're in your first year obviously they will not have any records to base this off of so, you, don't have to worry about it if it's. Your first year all. Right so the. Best the important question is now what like what are you gonna do right. Well. Do, something right do take some action you. Know you want something, you're here, you are interested, in starting a business in, Korea one day maybe you live here maybe, you've been here like seven years at the same hogg one or you've, been teaching at a middle school and you're like oh I don't know if I'll have my job next year there, are a lot of changes going on but if you can have your own business, your own small business which isn't that hard to start of course it's gonna take work and effort to make it a good, business but. It's possible, right you know and if anything. You will learn from your experience, and you'll, be able to use that in the, next I guess next stepping-stone that you will take in your, journey in life so, if you have more information if you want more information go, to entrepreneur, career com now go in-depth into each section I have, a page, for each section on the, homepage right now there are links and it, might not be there in the future if you're watching this video in the future and. If. You have any questions, or any, comments about, anything. Related, to being an entrepreneur in Korea. Running. A small business in Korea please comment below and I'll do my best to get back to you and answer your questions and make more videos if you are interested in any type of information, or you. Are just curious about something about, being an entrepreneur in Korea or even the lifestyle, please, comment let me know and I'll do my best to create some kind of content either as a, video or a blog post or, something on my website all, right take. Care and good luck and take some action.