Capital Gains Tax Calculator (Korea)

Calculate your Korean capital gains tax for real estate and stocks (2025/2026 basis)

How to Use This Calculator

Step 1: Select Asset Type

Choose from real estate, stocks, or other assets. For real estate, the '1 household 1 home' status and regulated area designation significantly affect the applicable tax rate.

Step 2: Enter Price Information

Enter the acquisition price (purchase price), transfer/sale price, and necessary expenses (agent fees, acquisition tax, legal fees, etc.). Numbers are automatically formatted with commas.

Step 3: Confirm Holding Period

Enter the acquisition and transfer dates to auto-calculate the holding period. The long-term holding deduction rate is determined by the holding period. Deductions begin for periods of 3+ years.

Step 4: Check Special Conditions

For real estate, check whether you qualify as '1 household 1 home' and whether the property is in a regulated area. The 1 household 1 home status may provide a tax exemption; multiple home owners in regulated areas face surcharges.

Step 5: Review Results

The results show your capital gain, deductions, tax base, and total tax payable. This calculator is for reference only — please consult a tax professional for actual filings.

When to Use This Calculator

Before Selling an Apartment

Calculate your capital gains tax before selling to understand your actual profit and plan the optimal timing and strategy for the sale.

Stock Transfer Tax Calculation

If you qualify as a major shareholder or are transferring domestic/foreign stocks, estimate your tax liability in advance to plan tax-saving strategies.

Multi-Property Owner Analysis

Calculate the actual tax burden including surcharges when selling a property in a regulated area as a multi-home owner, and decide the best timing for disposal.

1-Household 1-Home Exemption Check

Verify whether a home held for 2+ years qualifies for the tax exemption when sold below KRW 1.2 billion, and plan your sale accordingly.

Capital Gains Tax Saving Tips

  • The long-term holding deduction (2% per year) applies after 3+ years of ownership. Maximum 30% deduction for 15+ years.
  • 1 household 1 home with 2+ years holding and transfer price under KRW 1.2 billion qualifies for tax exemption.
  • For properties in regulated areas, 2+ years of residency is also required for the 1 household 1 home exemption.
  • Document all necessary expenses (agent fees, acquisition tax, legal fees, renovation costs) carefully to reduce your taxable capital gain.
  • Multi-home owners should check special exception rules (long-term rental registration, inherited homes, etc.) that may avoid the heavy tax surcharge.
  • Capital gains tax must be filed within 2 months of the end of the month in which the transfer occurred.
  • This calculator is for reference only. Actual tax may vary. Use the National Tax Service's Hometax or consult a tax professional for accurate calculations.

Frequently Asked Questions (FAQ)

When do I need to file capital gains tax?

Capital gains tax must be filed (preliminary return) within 2 months after the end of the month in which the transfer occurred. For example, if you transferred in March, the filing deadline is by the end of May. Late filing may result in penalty surcharges. The final return is filed in May of the following year.

What are the requirements for the 1 household 1 home tax exemption?

To qualify for the 1 household 1 home exemption, you must: ① Own only one home as a household; ② Transfer price must be KRW 1.2 billion or less (KRW 900 million for properties acquired before December 2021); ③ Hold the property for 2+ years (regulated areas also require 2+ years of residency if the property was in a regulated area at time of acquisition). Amounts above KRW 1.2 billion are partially taxed.

How is the long-term holding deduction calculated?

For general assets, the deduction is 2% per year for 3+ years of holding, up to a maximum of 30% (for 15+ years). For 1 household 1 home properties, holding period (4% per year) and residency period (4% per year) are combined for a maximum deduction of 80%. Stocks are not eligible for the long-term holding deduction.

What is a regulated area (조정대상지역)?

A regulated area is a government-designated zone where housing prices have risen significantly. Multiple home owners in regulated areas face surcharge tax rates: +20%p for 2 homes, +30%p for 3+ homes. Check the current list of regulated areas on the Ministry of Land, Infrastructure and Transport or the National Tax Service website.

What expenses qualify as necessary expenses?

Qualified necessary expenses include: ① Capital expenditures (renovations, extensions that increase property value), ② Transfer costs (agent commissions, notarization fees), ③ Acquisition tax and registration tax, ④ Legal/attorney fees. Routine maintenance costs (wallpaper replacement, basic repairs) are not accepted as necessary expenses.

How is capital gains tax applied to stocks?

[Korean Stocks] For domestic listed/unlisted stocks, capital gains tax applies only if you qualify as a major shareholder (1%+ stake or KRW 1 billion+ market value per stock). The rate is 20% (25% for gains over KRW 300 million), with a KRW 2.5 million basic deduction. Local income tax (10% of income tax) also applies. No long-term holding deduction is available. [Foreign Stocks] All foreign stock gains are taxed regardless of shareholder status. After a KRW 2.5 million annual deduction, a flat rate of 20% income tax + 2% local tax (totaling 22%) applies. Foreign stock gains are reported via the comprehensive income tax return in May of the following year.

What is the acquisition price for gifted or inherited assets?

For assets acquired through gift or inheritance, the acquisition price is the market value (assessed value or appraised value) at the time of gift/inheritance. Capital gains are calculated based on this acquisition price. Gift tax or inheritance tax paid may also qualify as necessary expenses.

Is local income tax paid separately for real estate transfers?

Local income tax is 10% of the capital gains tax and must be reported and paid to the local government together with the capital gains tax filing. For example, if your capital gains tax is KRW 10 million, you must pay an additional KRW 1 million in local income tax, for a total of KRW 11 million.

Notice and Disclaimer

  • This calculator is for reference purposes only. Actual taxes may differ based on individual circumstances, deductions, exemptions, and special provisions.
  • Capital gains tax involves many exceptions and special rules. Please consult a certified tax professional or accountant for accurate calculations.
  • Tax laws are subject to annual revision. This calculator applies Korean tax law as of 2025/2026.
  • It is recommended to file directly via the National Tax Service's Hometax (hometax.go.kr) or seek professional tax assistance.
  • Regulated area designations may change over time. Always verify the designation status at the time of transfer.

Complete Guide to Korean Capital Gains Tax

Learn about capital gains tax concepts, calculation methods, and tax-saving strategies for Korean real estate and stocks.

What is Capital Gains Tax?

Capital gains tax (양도소득세) is a tax levied on profit (capital gain) earned from transferring/selling assets such as real estate, stocks, and other property. When you sell an asset for more than its acquisition cost, the gain is subject to progressive tax rates. Capital gains tax is a form of income tax, assessed separately from general comprehensive income tax. For real estate, the tax amount varies significantly based on the acquisition price, transfer price, necessary expenses, holding period, and number of properties owned.

Capital Gains Tax Calculation Structure

The capital gains tax calculation follows these steps: ① Calculate capital gain (transfer price - acquisition price - necessary expenses), ② Apply long-term holding deduction, ③ Subtract basic deduction (KRW 2.5M/year), ④ Apply progressive tax rate to the tax base, ⑤ Add local income tax (10% of capital gains tax). The tax rate ranges from 6% to 45% depending on the tax base, with an additional 20-30%p surcharge for multiple home owners in regulated areas.

Long-Term Holding Deduction Strategy

The long-term holding deduction rewards longer ownership periods with greater deductions. For general real estate, the deduction is 2% per year for 3+ years, up to a maximum 30% for 15 years. For 1 household 1 home, the combined holding period (4%/year) and residency period (4%/year) deduction can reach up to 80%. Therefore, residing in and holding the property long-term is the most tax-efficient strategy. Stocks are not eligible for this deduction.

This calculator is provided for informational purposes only.

Results are estimates and may differ from actual amounts.

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