The first tax you meet when buying a home in Korea is acquisition tax — and it ranges from 1% to 12% depending on how many homes you'll own and where. On a ₩900M home that's the difference between ₩27M and ₩108M. Worth calculating before you sign.
And there is more than one deadline. Seocho District's guidance lists them separately: 60 days for ordinary purchases, six months for inheritance, three months for gifts. Memorise only “60 days” and you will miss the deadline on a gifted home.
1. What it costs. On a ₩900M home: ₩27M with one home, ₩108M with three — four times the tax on the same property. The ₩600M–900M band is not a step but a continuous slope from 1.00% to 3.00%.
2. What people get wrong. There is more than one filing deadline — 60 days generally, but 6 months for inheritance and 3 months for a gift. And acquisition tax is not the only line: local education tax and the special rural development tax ride along.
3. What to do. Settle how many homes you will own before you sign. In some cases the balance-payment date you choose changes the rate.
For a purchase, acquisition tax is due within 60 days of acquisition (usually the balance payment date). A scrivener typically handles it with registration, but know the amount in advance so your funding plan holds.
Housing acquisition tax rates
Rates depend on the number of homes you'll own after the purchase and whether the area is regulated. Seocho District's published table reads:
| Area | 1 home | 2 homes | 3 homes | Corporate / 4+ |
|---|---|---|---|---|
| Regulated | 1–3% | 8% | 12% | 12% |
| Non-regulated | 1–3% | 1–3% | 8% | 12% |
Note it's the count after the purchase, and it includes every home in your household.
Non-residential property runs on its own table. Guri City lists standard rates of 3.00% on farmland, 4.00% on other real estate, 2.80% on original acquisition, 2.30% and 2.80% on inherited farmland and other property, and 3.50% on gratuitous acquisition. Officetels and commercial units take the 4%.
The single-home bracket is a slope, not a cliff
| Up to ₩600M | 1% |
| ₩600M – ₩900M | statutory formula below → 1.00% to 3.00% |
| Over ₩900M | 3% |
This band's rate is not tabulated — it is calculated. The statute (Local Tax Act art. 11(1)8(b)) gives the formula:
rate = (acquisition price × 2 ÷ ₩300M − 3) × 1/100
“In this case, round at the fifth decimal place and compute to four decimal places.”
— Local Tax Act art. 11(1)8(b) (Act No. 21308, in force 1 July 2026)
Applied across the whole band:
| Acquisition price | Rate | Tax |
|---|---|---|
| ₩600M | 1.00% | ₩6.0M |
| ₩650M | 1.33% | ₩8.645M |
| ₩700M | 1.67% | ₩11.69M |
| ₩750M | 2.00% | ₩15.0M |
| ₩800M | 2.33% | ₩18.64M |
| ₩900M | 3.00% | ₩27.0M |
The two ends meet exactly (our calculation). Feed in ₩600M and you get 1.00%, matching sub-paragraph (a)'s “10 per 1,000”; feed in ₩900M and you get 3.00%, matching (c)'s “30 per 1,000.” The formula is built to make the bands continuous.
So ₩601M does not suddenly jump. The widely-quoted “1.01–2.99%” is Seocho's phrasing — by the statute the endpoints are 1.00% and 3.00%.
Buying a share works differently. The same provision carries a separate conversion: whole-property acquisition price = the share's acquisition price × (whole property's assessed value ÷ the share's assessed value). In other words, the rate is set by what the whole home is worth, not by what you paid. Buying half does not put you in the sub-₩600M band.
The surcharge rates are not fixed numbers
This structure is not widely known, and knowing it makes other sources readable. Guri City's page introduces a “standard surcharge rate of 2.00%”: surcharges in over-concentration and metropolitan zones are computed as the standard rate plus 2%, doubled or tripled, and for villas and luxury housing as the standard rate plus 2%, quadrupled.
So “12%” is not a figure written into the statute — it is what falls out of a multiplier. That is why changing only the multiplier at amendment time moves the final rate sharply.
Gifts deserve care too. Guri lists the standard rate on gratuitous acquisition as 3.50% — but states that where the home is valued at ₩300M or more, 12% applies. People who remember only “gifts are 3.5%” get a bill more than three times what they expected.
It isn't only acquisition tax — the surtaxes
| Acquisition tax | The main tax (1–12%) |
| Local education tax | Linked to the acquisition tax rate |
| Special rural development tax | Applies above 85㎡; widely reported as exempt at 85㎡ or under |
The floor-area condition is one quiet reason the 84㎡ “national size” stays popular. Rural development tax sits in a separate Act, so its rate is not carried here. Confirm the total on the bill through Wetax or your district tax office.
Local education tax is not “a percentage of the acquisition tax”
Local education tax is usually introduced as “a percentage of the acquisition tax.” The method in Local Tax Act art. 151 is not that.
Art. 151(1)1 — “the amount computed by applying to the tax base the rates under art. 11(1)1 to 7 and art. 12 less 20/1,000 (in the case of art. 11(1)8, the amount computed by applying 50 per cent of that rate), multiplied by 20 per cent.”
It is not “20% of the acquisition tax” but “(the rate − 2%) × 20%.” And homes (art. 11(1)8) use a different formula entirely — half the rate, then 20% of that. Worked through (our arithmetic):
| Acquisition | Rate | Computation | Education tax |
|---|---|---|---|
| Home up to ₩600M | 1% | (1% × 50%) × 20% | 0.1% |
| Home above ₩900M | 3% | (3% × 50%) × 20% | 0.3% |
| Non-residential property | 4% | (4% − 2%) × 20% | 0.4% |
| Inheritance (non-farm) | 2.8% | (2.8% − 2%) × 20% | 0.16% |
| Gift (gratuitous) | 3.5% | (3.5% − 2%) × 20% | 0.3% |
Why the “less 20/1,000” matters — the closer the acquisition rate sits to 2%, the closer the education tax falls to zero. Estimating it as “a percentage of the acquisition tax” goes badly wrong at the low end.
A surcharged purchase carries the education tax up with it. Art. 151(1)1(a): where the surcharge provisions apply, the education tax is 300 per cent of the amount computed above. Though a corporation acquiring a home falls under sub-item (b) instead.
Relief on the acquisition tax carries across too — sub-item (c): “where the relief legislation sets a reduction rate for acquisition tax: the education tax computed as above, reduced by that same rate.” The main tax is not cut while the surtax stays whole.
Set the rule of thumb beside the statutory formula and the gap differs line by line.
What changed in 2026
From the Korea Association of Realtors' summary of the 2026 amendments, the items touching acquisition tax are these.
| Item | Change |
|---|---|
| Home purchase for childbirth or child-rearing | 100% relief, capped at ₩5M |
| First-home relief in population-decline areas | Cap ₩2M → ₩3M |
| Second-home price threshold | ₩300M → ₩1.2B (₩1.5M cap) |
| Related-party undervalue transfer test | Gap of ₩300M or 30% of assessed market value |
| Unsold new-build price threshold | ₩600M → ₩700M |
Two provisions are routinely conflated. The 100% relief capped at ₩5M is for childbirth and child-rearing purchases; the population-decline change is a first-home cap raised to ₩3M. Plenty of write-ups merge them into one.
First-home buyer relief
| Maximum relief | ₩2M (₩3M in population-decline areas) |
| Eligibility | Households where no member has ever owned a home |
| Price limit | A ceiling applies — confirm with your local government before filing |
Temporary two homes — the upgrade rule
- Becoming a two-home owner through a move or marriage can still qualify for 1–3% rates if you dispose of the old home in time.
- The disposal window varies by area and acquisition date — confirm with your local government before signing.
- Miss the deadline and the difference is clawed back — the gap between 8% and 1–3% is substantial.
- Declare the temporary two-home status when filing.
If you're late, there is relief
Ansan City's Sangnok-gu page sets out the penalties precisely: 20% for non-filing, 10% for under-reporting, and 22 per 100,000 per day for late payment. But that isn't the end of it.
| Type | Within 1 month | Within 3 months | Within 6 months |
|---|---|---|---|
| Late filing | 50% reduction | 30% reduction | 20% reduction |
| Amended filing | 90% reduction | 75% reduction | 50% reduction |
Correcting a mis-filing within one month cuts the penalty by 90%. “It's already late, nothing to be done” is exactly wrong — every day earlier is money. The same page puts the penalty for reselling without registering at 80% of the acquisition tax.
Turn the relief percentages into what you actually pay and the value of moving early becomes concrete.
Counting homes — the confusing parts
| Residential officetel | May count toward home number (taxed at 4% itself) |
| Pre-sale rights | Counted, depending on acquisition date |
| Inherited home | Special rules may exclude it for a period |
| Homes under ₩100M published price | May be excluded from the surcharge |
This is where disputes arise. When unsure, ask Wetax or your district tax office before signing — misfiling brings penalties.
Pre-contract checklist
- Count household homes after purchase
- Check whether the area is regulated
- Check whether the unit exceeds 85㎡
- Check first-home and childbirth relief eligibility
- If upgrading, confirm the disposal deadline
- Budget the amount — it's due within 60 days, separate from the purchase price
Run the numbers in the property tax calculator first. The full sequence from contract to registration is in the apartment purchase guide.
Questions you may have
When is it due?
For a purchase, within 60 days of acquisition. Inheritance is six months and gifts are three months — all different.
Is a gifted property taxed differently?
Yes. The standard gratuitous-acquisition rate is 3.50%, but 12% applies where the home is valued at ₩300M or more.
Do new-build purchases pay it?
Yes — at occupancy (balance payment), not at contract.
I forgot to file.
A late filing within one month cuts the penalty by 50%. Do it now.
Is it deductible later?
Yes, as an allowable expense for capital gains tax. Keep the receipt.
What do I pay every year after buying?
Property tax annually, plus the comprehensive real estate tax above a certain assessed value. The assessment date is 1 June, which matters when you set your closing date.
Where to check further
- Your district's actual rates and reliefs. Acquisition tax is a local tax, so guidance and relief practice vary a little by municipality. The pages quoted here are Seocho-gu, Guri City and Ansan Sangnok-gu. Open the tax office page for the district the property sits in.
- Where to file and pay. Local tax filing and payment go through Wetax (Seoul uses Etax). A judicial scrivener usually handles it alongside registration — but you should know the amount and the deadline yourself so the cash plan holds.
- Your own number. The tables above stop at rates; the actual bill depends on price, home count and location — run it through the property tax calculator. Holding costs are in the property tax guide, and selling in the single-home capital gains guide.
Sources and where to check
- Local Tax Act (in force 1 July 2026, Act No. 21308) — Articles 6, 11 and 13-2 (checked August 2026). Rates previously taken from municipal guidance are now checked against the statute itself. Source for the standard rates in Article 11(1) — inheritance of farmland 23/1000 and other land 28/1000, gratuitous acquisition 35/1000 (28/1000 for non-profit bodies), original acquisition 28/1000, partition of co-owned property 23/1000, other causes 30/1000 for farmland and 40/1000 otherwise — the housing rates in Article 11(1)8: 10/1000 up to 600 million won and 30/1000 above 900 million, the definition of the “heavy taxation standard rate” in Article 6(19) as “20/1000”, and the fact that Article 13-2(1) states the heavy rates not as figures but as “the rate under Article 11(1)7(b) as the standard rate, plus 200 (or 400) percent of the heavy taxation standard rate.” This is what establishes that the 8% and 12% in the body are computed values absent from the statute. The same provision also carries the rate formula in art. 11(1)8(b) (acquisition price × 2 ÷ ₩300M − 3, × 1/100, rounded at the fifth decimal to four places) and the conversion for acquiring a share. Both formulas are embedded as images in the statute text and cannot be extracted as text — they were read directly from the national statute portal screen.
- Seocho District Office — acquisition tax (last updated 20 December 2023). Source of the regulated/non-regulated rate table, the “1% / 1.01–2.99% / 3%” bands, the 60-day, six-month and three-month deadlines, and the 20%, 10% and daily 22-per-100,000 penalties.
- Korean Law Information Center — statute — Local Tax Act art. 151 (local education tax base and rates) (in force 1 Jan 2026, Act no. 21308). Source for the “rate less 20/1,000, times 20 per cent” structure, the “rate × 50 per cent” exception for homes, the 300 per cent multiplier on surcharged acquisitions, and the carry-across of acquisition tax relief. This closes the “exact local education tax rate” item — and it was never a percentage of the acquisition tax.
- Guri City Hall — acquisition tax (last updated 24 November 2023). Source of the full standard rate table, the 2.00% standard surcharge rate and its multiplier structure, and the rule that gratuitous acquisition of a home valued at ₩300M or more takes 12%.
- Ansan City Sangnok-gu tax office — acquisition tax. Source of the late-filing (50/30/20%) and amended-filing (90/75/50%) reductions and the 80% unregistered-resale penalty.
- Korea Association of Realtors news — summary of 2026 property tax amendments (February 2026). Source of the 100% childbirth relief capped at ₩5M, the ₩2M → ₩3M population-decline first-home cap, the ₩300M → ₩1.2B second-home threshold, the related-party test and the unsold new-build threshold.
Written as of July 2026. The rate tables, deadlines, penalties, reductions, standard surcharge rate and the 12% gift rule come from the municipal pages above; the 2026 amendments come from the realtors' association article. Note, however, that the Seocho and Guri pages were last updated in 2023, so whether they reflect amendments made in 2024 to 2026 could not be verified. The local education tax computation was checked directly against Local Tax Act art. 151 this time — it is “(rate − 2%) × 20%”, or “rate × 50% × 20%” for homes, not a share of the acquisition tax. Not carried here: the rural development surtax rate and the 85㎡ exemption (a separate Act), the price ceiling and income test for first-home relief, the disposal window for temporary two-home status, and the current list of regulated areas remain unconfirmed. Re-confirm with Wetax and your own city or district tax office before signing. This is general information, not tax advice.
