Buying or selling property in Korea? You pay acquisition tax when you buy and capital gains tax when you sell. Calculate both below (2026 rates). Useful if you are an expat, investor, or considering Korean real estate.
| Acquisition tax | 0 |
| First-time discount up to ₩2M | 0 |
| Local education tax 10% of acq. tax | 0 |
| Rural special tax 0.2% (over 85㎡) | 0 |
| Total | 0 |
Agent fees, legal fees, and stamp duty are additional.
| Capital gain sale - purchase - costs | 0 |
| Taxable gain portion above ₩1.2B | 0 |
| Long-term holding deduction 0% | 0 |
| Basic deduction ₩2.5M/yr | 0 |
| Taxable base | 0 |
| Capital gains tax | 0 |
| Local income tax 10% of CGT | 0 |
| Total | 0 |
Estimate based on 2026 rates. Actual tax varies significantly with regulated-area designation, temporary two-home exemptions, and surcharge suspensions. Consult a Korean tax professional.
Buying: acquisition tax
When you buy, you pay acquisition tax + local education tax, plus a rural special tax if the floor area exceeds 85㎡.
| Homes owned | Price | Rate |
|---|---|---|
| 1 home | Under ₩600M | 1% |
| ₩600M–900M | 1–3% (sliding) | |
| Over ₩900M | 3% | |
| 2 homes | Regulated area | 8% |
| 3+ homes | Non-regulated | 8% |
| Regulated area | 12% | |
| Officetel | — | 4% (flat) |
First-time buyer discount. Buying your first home under ₩1.2 billion gets you up to ₩2 million off the acquisition tax (through end of 2028).
⚠️ Acquisition tax must be filed and paid within 60 days of acquisition, or penalties apply.
Selling: capital gains tax
The single-home exemption (most important)
Held 2+ years (plus 2 years of residence in regulated areas) + sale price under ₩1.2 billion → zero capital gains tax.
Above ₩1.2B, only the gain attributable to the portion above ₩1.2B is taxed — not the whole gain.
Holding period drives everything
- Under 1 year — 70% (punitive)
- 1–2 years — 60%
- 2+ years — normal progressive rates (6–45%)
Long-term holding deduction
- Single home — 8%/year (4% holding + 4% residence), up to 80%
- Otherwise — 2%/year, up to 30%
Keep your receipts. Acquisition tax, agent fees, and renovation costs are deducted from the gain. Without documentation, you pay more tax than you need to.
Not included here
- Agent fees, legal fees, stamp duty (extra at purchase)
- Annual property tax and comprehensive real estate tax
- Temporary surcharge suspensions (rules change often)
- Temporary two-home exemptions (e.g. when moving)
Korean property tax swings wildly with holding period and number of homes. The same ₩300M gain can mean zero tax — or over ₩100M.
Estimates based on 2026 rates; Korean tax law changes frequently. Regulated-area designation, surcharge suspensions, and special exemptions can change the result dramatically. This is general information, not tax advice — consult a Korean tax accountant before any transaction.