Korean ISA (Individual Savings Account) 2026: tax-free on first 2M KRW (general) or 4M KRW (low-income / farmer) of net gains, then 9.9% separate tax. Korean 20M KRW annual / 100M KRW lifetime cap. Compare General vs Low-Income vs Farmer and Brokerage vs Trust vs Discretionary types.
| Type | Korean Eligibility | Tax-free Cap | Excess Tax |
|---|---|---|---|
| General | Korean resident age 19+ (any income) | 2M KRW | 9.9% separate |
| Low-income | Korean salary ≤ 50M KRW or Korean comprehensive income ≤ 38M KRW (prior year) | 4M KRW | 9.9% separate |
| Farmer | Korean comprehensive income ≤ 38M + Korean farming/fishing | 4M KRW | 9.9% separate |
| Korean Youth 19–34 | Korean Youth brokerage ISA (separate support conditions) | Same + extras | 9.9% separate |
| Item | Brokerage | Trust | Discretionary |
|---|---|---|---|
| Investment mode | Korean holder picks stocks / ETFs / funds | Korean trustee holds designated products | Korean firm manages a portfolio |
| Korean providers | Korean securities firms | Korean banks / securities | Korean banks / securities / asset managers |
| Korean-listed stocks | Direct purchase | Not allowed (only allowed products) | Possible within Korean portfolio |
| Korean fees | Trading commissions only | Korean trust fee 0.1–0.5% p.a. | Korean advisory fee 0.3–1% p.a. |
| Suitable for | Korean self-directed investors | Korean conservative savings alternative | Korean delegated portfolio |
| Korean annual cap | 20M KRW (unused carried to next year) |
| Korean lifetime cap | 100M KRW (over 5 Korean years) |
| Korean lock-in | 3 years (tax-free benefit lost if closed earlier) |
| Korean eligible products | Korean deposits, funds, ETFs, listed stocks, RPs, structured securities (some excluded — Korean unlisted, some ELS) |
| Korean loss netting | Gains and losses across Korean ISA products are combined before tax — a key Korean advantage |
| Korean withdrawals | Korean principal is free to withdraw (withdrawing gains may cut tax-free benefit) |
| Korean pension rollover | Within 60 days of Korean maturity → Korean pension savings / IRP; 10% of rolled amount (cap 3M KRW) separately eligible |
Korean ISA tax benefits and caps can change — verify on Korea FSC, FSS, or your Korean provider before opening.
This page summarises Korea FSC, FSS, and NTS public information (April 2026) for reference only and has no legal effect. Korean ISA tax-free caps, separate-tax rate, eligibility, and Korean pension-rollover credit can change with Korean tax-law revisions. Korean ISA products include investments that can lose principal (Korean funds, ETFs, stocks); before opening a Korean ISA, read the product and risk disclosures of your Korean provider and confirm it matches your Korean risk profile. Investment losses are the Korean investor's responsibility. This page applies to Korean-resident ISA accounts only.
South Korea's ISA is a tax-advantaged omnibus Korean account launched in 2016. Inside one Korean ISA, you can hold deposits, funds, ETFs, Korean-listed stocks, RPs, and structured securities; all gains and losses are netted before Korean tax. After the 3-year Korean lock-in, the first 2M KRW of net gains (General) or 4M KRW (Low-Income / Farmer) is Korean tax-free; excess is taxed at 9.9% Korean separate tax (including local income tax). Any Korean resident aged 19+ can open one Korean ISA account; contributions are capped at 20M KRW/year and 100M KRW over 5 years. Within 60 days of Korean maturity, rolling into a Korean pension savings or IRP account adds 10% of the rolled amount (cap 3M KRW) to separately-eligible Korean tax credit. Korean ISAs come in three flavours — Brokerage (Korean self-directed, securities firm), Trust (Korean banks/securities, designated products), and Discretionary (Korean portfolio-delegated) — only Brokerage supports direct Korean stock trading.
Korean wage earners qualify with prior-year Korean gross salary ≤ 50M KRW; Korean self-employed with comprehensive income ≤ 38M KRW. Eligibility is fixed at Korean opening; you'll need the Korean NTS income certificate when applying.
Yes — without closing the Korean account, request a conversion at your Korean provider with the Korean NTS income certificate; the Korean tax-free cap rises to 4M KRW.
Korean-listed ETFs tracking overseas indices (e.g. Korean-listed S&P500) qualify. Foreign-listed ETFs (US NYSE/NASDAQ direct) do NOT qualify — use a regular Korean brokerage account in parallel.
Yes — within 60 days of Korean maturity, rolling into Korean pension savings/IRP adds 10% (cap 3M KRW) to separately-eligible Korean tax credit, on top of the basic 9M KRW Korean cap — stacking to 12M KRW eligible per Korean year.
Closing before the 3-year Korean lock-in forfeits the tax-free / separate-tax benefit; gains are taxed at the regular Korean 15.4% withholding (with possible comprehensive taxation). Keep short-term Korean cash outside ISA.
Unused Korean annual cap carries into the next Korean year. E.g. 5M KRW in 2026 → 2027 cap becomes 20M + unused 15M = 35M KRW. The Korean 100M KRW lifetime cap still applies.
South Korea's ISA (개인종합자산관리계좌) is a Korean tax-advantaged omnibus account that bundles deposits, funds, ETFs, Korean-listed stocks, and RPs inside one Korean account and nets gains against losses before Korean tax. For 2026, Korean General ISA is tax-free on the first 2M KRW of net gains; Korean Low-Income (gross salary ≤ 50M KRW or comprehensive income ≤ 38M KRW) and Korean Farmer ISA are tax-free on 4M KRW. Excess is taxed at 9.9% Korean separate tax (including local income tax). Korean annual cap is 20M KRW (unused carried forward) and Korean lifetime cap is 100M KRW over 5 Korean years; the mandatory Korean lock-in is 3 years (closing earlier forfeits the tax-free benefit). Korean ISAs come in Brokerage (Korean self-directed, securities firm), Trust (Korean bank / securities designated products), and Discretionary (Korean advisory) flavours — Korean direct stock trading requires the Brokerage form. Within 60 days of Korean maturity, rolling into Korean pension savings / IRP adds 10% of the rolled amount (cap 3M KRW) to separately-eligible Korean pension tax credit, stacking with the basic 9M KRW cap to 12M KRW eligible per Korean year for low-bracket earners. Korean ISAs are especially efficient for Korean dividend stock / ETF long-term holding, Korean index-tracking ETF dollar-cost averaging, and combined deposit + dividend-fund strategies, thanks to Korean loss netting. File via Korea FSC guide (fsc.go.kr), Korea FSS Fine (fine.fss.or.kr), and Korea NTS Hometax; opening is available at Korean banks, securities firms, and asset managers.