2026 Korea Freelancer 3.3% Refund Calculator | Expense Rates & Refund Guide by Job

Introduction: Can you really get back that 3.3% that was withheld?

Every year at the end of April, Korean freelancers receive the familiar "Comprehensive Income Tax (jonghap-sodeukse) filing notice" from the National Tax Service via text message and postal mail. Throughout the year, whenever you received service fees, lecture fees, writing fees, or design fees, you were told "3.3% will be withheld" and only 96.7% landed in your account. That is the withholding tax now being reconciled.

The 3.3% is actually the sum of two taxes: 3% income tax + 0.3% local income tax. When a business (the company or institution that commissioned your service) pays a freelancer, it is legally required to withhold this amount and remit it to the National Tax Service in advance. In other words, you have already "prepaid" your tax. Through the May Comprehensive Income Tax filing, your actual annual tax is calculated and compared against what you prepaid — if you overpaid, you get a refund; if you underpaid, you owe additional tax.

Here is the key point: most freelancers receive a refund. This is because of the simple expense rate (danseun-gyeongbiyul) system. For example, the simple expense rate for programmers, instructors, and creators is a generous 64.1% — so if you earn KRW 30 million per year, roughly KRW 19.23 million is automatically recognized as business expenses. We recommend first checking your estimated refund with the calculator at the top of this article, and then working through the structure, real examples, and Hometax filing procedure below.

1. Understanding the 3.3% Withholding Tax

1.1 What 3.3% really is — 3% income tax + 0.3% local income tax

When a freelancer is paid for service compensation, they hear the phrase "3.3% will be withheld." This 3.3% is actually the sum of two taxes: 3% income tax is a national tax that goes to the National Tax Service (the national treasury), and 0.3% local income tax is a local tax that goes to the local government where the business is registered. The withholding agent (the company or individual that commissioned the service) files and pays it to the National Tax Service by the 10th of the following month, and issues a withholding tax receipt to the freelancer. That receipt is your proof of "tax already withheld" for your May Comprehensive Income Tax filing.

1.2 When and by whom is it withheld

The following personal service (business income) payments are, as a rule, subject to 3.3% withholding.

• IT freelancer service fees: outsourced development, server operations, web build-out, data analytics, etc.
• Design, translation, and editing fees: logos, editorial design, translation, editing and proofreading
• Lecture, writing, and advisory fees: academy and university part-time instructors, special lectures, magazine articles, expert advisory
• Photography, video editing, and YouTube outsourcing: video production, editing, creator production grants
• Other personal services: insurance agents, door-to-door sales, event MCs, delivery riders, etc.

In contrast, "other income" (gita-sodeuk) — such as lecture fees, manuscript fees, and prize money — is subject to a 60% necessary-expense deduction, after which 20% income tax + 2% local tax = 22% is withheld. If your annual other income (after the 60% expense deduction) is KRW 3 million or less, you can end it with separate taxation; if it exceeds that threshold, it switches to comprehensive taxation and must be combined in your May filing.

1.3 How to check your withholding tax receipts

The fastest way to check how much was withheld from you during the year is through Hometax > My Hometax > Payment Statement Submission History.

1. Log in to Hometax with a joint certificate or simple authentication
2. My Hometax → "Year-End Tax Settlement / Payment Statement" → "Payment Statement Submission History"
3. Select tax year 2025 → view total gross payment and withholding amount by each payer
4. Download as Excel to aggregate the full year → used automatically as "tax already withheld" in May

Payers must submit payment statements to the National Tax Service by March 10 each year, so all records from April through the May filing window can be queried. Occasionally a payer omits or misreports a payment statement, so it is safer to cross-check against the withholding receipts you kept separately.

2. Why a refund occurs

2.1 The gap between "tax prepaid" and "actual tax"

The 3.3% is at most a simplified prepayment. Once your actual tax is calculated based on a full year of income, it is compared to the 3.3% already paid — if actual tax < tax already withheld, the difference is refunded; if the opposite, you owe additional tax. This simple formula is the starting point of every refund.

Refund = Tax Already Withheld (3.3%) − Actual Total Tax
Actual Total Tax = Calculated Tax + Local Income Tax (10%)
Calculated Tax = (Gross − Expenses − Income Deduction) × Tax Rate − Progressive Deduction

2.2 Why most people get a refund

First, the simple expense rate is more generous than actual expenses. Programmers 64.1%, designers 76.2%, insurance agents 78.8% — industry-specific expense rates are set high, so small-scale freelancers are granted substantial expenses without any documentation. Second, the KRW 1.5M basic deduction plus National Pension and health insurance deductions further reduce the taxable base. Third, 3.3% is a prepayment that assumes the middle of the progressive tax schedule (roughly the 14% bracket), so freelancers in the low-income band (6% bracket) end up having "prepaid more than they owe."

2.3 When you end up owing additional tax

That said, in the following cases 3.3% is not enough and you'll owe additional tax.

• High earners, KRW 50M+ per year: once the taxable base crosses into the 15% bracket, 3.3% prepayment is not enough. Above KRW 100M (the 35% bracket), additional tax of several million KRW is typical.
• Single person, no dependents: only the KRW 1.5M basic personal deduction is available.
• Salaried job + freelance side work: when combined, the tax bracket often jumps and flips into additional-tax territory.
• Industries excluded from the simple expense rate: with high income or a low industry-code expense rate, lacking documentation of real expenses puts you at a disadvantage.

3. Expense Rates by Job Category

Below are the common personal service simple expense rates used for the May 2026 filing (2025 tax year). Double-check your exact industry code and expense rate via Hometax → Inquiry/Issuance → Other Inquiries → Look up Expense Rates by Industry.

Industry Code	Job Category	Simple Expense Rate	Notes
940909	Programming / IT Development	64.1%	Consider standard expense rate if server/equipment costs are high
940903	Designer / Illustrator	76.2%	Simple expense rate is very generous
940302	Writer / Translator / Editor	65.0%	Separately check manuscript fees classified as other income
940903	Instructor / Educator	64.1%	Check whether lecture fees are "other income"
940918	Video / Photography	65.7%	Equipment depreciation may favor actual-expense accounting
940910	Consulting / Advisory	52.6%	Low expense rate — watch for additional tax due
940306	Creator / YouTuber	64.1%	Includes all ad revenue and sponsorships
940907	Insurance Agent	78.8%	One of the highest expense rates
940904	Door-to-Door Sales	75.0%	Includes agency and multi-level sales
940909	Other Personal Services	64.1%	Default when classification is unclear

3.1 Practical tips by job category

• Programmers / IT: if laptop, server lease, or SaaS subscription costs are high, it's more favorable to use the standard expense rate (gijun-gyeongbiyul) or a simple bookkeeping ledger to document real expenses. Above KRW 75M/year, double-entry bookkeeping is mandatory.
• Designers / Video creators: with simple expense rates of 65–76%, sticking with the simple rate without effort to document expenses is usually easiest. Under KRW 24M/year, you qualify for the simple expense rate.
• Instructors / Writers: lecture and manuscript fees are sometimes classified as "other income," which means 60% necessary-expense deduction + 22% withholding. If your annual other income stays under KRW 3M, separate taxation may be more favorable.
• Insurance agents / Door-to-door sales: with the highest expense rates (75–78.8%), but performance commissions plus incentives and training allowances must all be combined when filing.
• Consultants: at 52.6%, the expense rate is relatively low, so as income rises you quickly enter additional-tax territory. Consider incorporating as a company.

4. How the Refund is Calculated

4.1 The 5-step formula

1. ① Total Gross Payment: sum of service fees received during the year (before withholding)
2. ② Business Income: Gross × (1 − Expense Rate). Example: KRW 30M × (1 − 0.641) = KRW 10.77M
3. ③ Taxable Base: Business Income − Income Deduction (KRW 1.5M basic + α). Example: KRW 10.77M − KRW 1.5M = KRW 9.27M
4. ④ Calculated Tax: Taxable Base × Rate − Progressive Deduction. Example: KRW 9.27M × 6% − 0 = KRW 556K
5. ⑤ Refund: Tax Already Withheld (3.3%) − (Calculated Tax + 10% Local Tax). Example: KRW 990K − KRW 612K = +KRW 378K refund

4.2 Three real-life cases

Case A — KRW 15M/year designer (expense rate 76.2%)

• Business income: KRW 15M × (1 − 0.762) = KRW 3.57M
• Taxable base: KRW 3.57M − KRW 1.5M (basic deduction) = KRW 2.07M
• Calculated tax: KRW 2.07M × 6% = KRW 124K; including local tax, KRW 137K
• Tax already withheld: KRW 15M × 3.3% = KRW 495K
• 👉 Approx. KRW 358K refund (effectively 72% of the withheld amount is returned)

Case B — KRW 30M/year programmer (expense rate 64.1%)

• Business income: KRW 30M × (1 − 0.641) = KRW 10.77M
• Taxable base: KRW 10.77M − KRW 1.5M = KRW 9.27M
• Calculated tax: KRW 9.27M × 6% = KRW 556K; including local tax, KRW 612K
• Tax already withheld: KRW 30M × 3.3% = KRW 990K
• 👉 Approx. KRW 378K refund

Case C — KRW 80M/year consultant (expense rate 52.6%)

• Business income: KRW 80M × (1 − 0.526) = KRW 37.92M
• Taxable base: KRW 37.92M − KRW 1.5M = KRW 36.42M
• Calculated tax: KRW 36.42M × 15% − KRW 1.26M = KRW 4.203M; including local tax, KRW 4.623M
• Tax already withheld: KRW 80M × 3.3% = KRW 2.64M
• 👉 Approx. KRW 1.98M additional tax due (low expense rate plus the 15% bracket flips it)

You can confirm the exact numbers with the calculator at the top of this article. The cases above assume only the KRW 1.5M basic deduction — the minimum scenario. Adding dependents, pension savings, or medical expense deductions will either raise the refund or reduce additional tax due.

5. Step-by-step Filing on Hometax

5.1 "All-Fill" (modu-chaeum) service — the easiest route

The National Tax Service offers an "All-Fill" pre-populated service (modu-chaeum) for small-scale freelancers using the simple expense rate. From late April to early May each year, a "Filing Assistance Service Notice" is sent via KakaoTalk alert or postal mail, containing your pre-calculated estimated refund and the full-year payment statement totals.

• Launch the Sontax app or log in to Hometax → "All-Fill Filing" menu
• Review the pre-populated content → enter your refund bank account → click "Confirm & Submit" once
• Takes about 3–5 minutes. No additional input required

To add dependents, medical expenses, donations, or other deductions, you must switch from "All-Fill" to the regular filing mode.

5.2 E-filing in 8 steps — self-filing

1. Log in to Hometax (joint, financial, or simple authentication)
2. "Tax Filing → Comprehensive Income Tax Filing" → select "Regular Filing" or "Simple Expense Rate Filing"
3. Confirm basic info — business registration, dependents, and prior-year filing history auto-loaded
4. Enter revenue — business income / other income auto-imported from payment statements
5. Necessary expenses — auto-calculated if you're using the simple expense rate
6. Income and tax deductions — year-end tax settlement simplified data can be used directly
7. Review the tax calculation → refund/payment amount displayed
8. Enter refund bank account → submit the electronic return → receive a filing receipt number

5.3 Fees compared — Samjeomsam app vs. general tax agent

• App-based agents such as Samjeomsam or Taxbe: commissions of 10–18% of the refund (some charge nothing if there's no refund). These are centered on the simple expense rate and may miss deductions, so verify the numbers yourself.
• General tax accountant: flat fee of KRW 100K–300K. Complex deductions (dependents, medical, donations, refund claims) can be reviewed face-to-face, often resulting in a much bigger refund than an app.
• Self-filing via Hometax "All-Fill": free. For simple-expense-rate, single-source freelancers, this is the most reasonable choice.

If your income is under KRW 30M and you have no dependents or special deductions, self-filing is usually enough. High earners above KRW 100M or those with multiple income types typically save more than the fee by hiring a tax accountant once.

5.4 Filing deadlines and refund timing

• Filing and payment period: May 1 – May 31, 2026 (extended to the next business day if the deadline falls on a weekend or holiday)
• Refund timing: within about 30 days of filing — usually deposited in mid-to-late June to the bank account you registered
• Compliance-review filers: higher-income filers may have until June 30

6. Frequently Asked Questions (Q&A)

Q1. Can I still reclaim a refund I missed five years ago?

Yes. Through the refund claim (gyeongjeong-cheonggu) system, you can retroactively claim refunds for up to 5 years from the statutory filing deadline. For example, the May 2021 filing (for tax year 2020) can be claimed until the end of May 2026. You can apply through the Hometax "Refund Claim" menu or at your local tax office — missed dependents and missed medical expense deductions are the most commonly found items.

Q2. What if I received payments from several clients?

File them all combined, in a single return. If three companies each paid you KRW 10M, you calculate the Comprehensive Income Tax on a KRW 30M basis and deduct the combined KRW 990K (3.3% × 3) as tax already withheld. Hometax aggregates the payment statements automatically, so there is no need to calculate separately.

Q3. What changes if I have a business registration?

The basic tax calculation is the same. However, with a business registration, you have double-entry bookkeeping obligations (above KRW 75M/year) or simple-bookkeeping obligations, and you also file VAT (January and July). In return, you can document real expenses — often better than the simple expense rate — and you can also deduct business credit card and tax invoice expenses.

Q4. What if I miss the May filing?

File a late filing (gihan-hu-singo) immediately. The penalty is, in principle, a 20% non-filing penalty, but filing within 1 month cuts it by 50% (effectively 10%); within 3 months, 30% off; within 6 months, 20% off. If you're owed a refund, there's no penalty, but the refund is delayed based on the filing date. Beyond 6 months, the penalty grows quickly, so act as soon as possible.

Q5. Do I need to keep expense receipts?

If you're using the simple expense rate, you don't need separate documentation — the industry-specific fixed expense rate is applied automatically. However, those subject to the standard expense rate (above a certain revenue threshold) or those doing simple/double-entry bookkeeping must document major expenses (purchases, rent, labor). Even under the simple expense rate, you'll still need the appropriate receipts to claim special deductions such as medical or education expenses.

Q6. I have a day job but also freelance on weekends (two jobs)

You combine both salary income and business income when filing. Your company already finalized salary income tax via year-end tax settlement, and in May you add freelance income and recompute. Tax brackets often jump and flip into additional tax due, so if you have two jobs, be prepared to pay more rather than receive a refund. That said, maxing out the KRW 9M/year pension savings and IRP tax credit limit can still return up to KRW 1.35M.

Q7. When does the refund actually arrive?

For normal filings, the refund arrives within about 30 days of filing — usually in mid-to-late June, deposited to your registered account. File early in May using "All-Fill" and you may receive it by early June. If you file during the late-May to early-June crunch, processing may slow, so finishing in the first half of May is better.

7. Simulated Refund by Income Band

The table below is based on a programmer (expense rate 64.1%) scenario, with only the KRW 1.5M basic deduction applied — the minimum scenario. If you have dependents or add pension savings/medical expense deductions, refunds grow and additional tax due shrinks.

Annual Total Gross Payment	Already Withheld (3.3%)	Total Tax (incl. local)	Estimated Refund / Additional Tax
KRW 10M	KRW 330K	approx. KRW 131K	+KRW 199K refund
KRW 20M	KRW 660K	approx. KRW 345K	+KRW 315K refund
KRW 30M	KRW 990K	approx. KRW 717K	+KRW 273K refund
KRW 50M	KRW 1.65M	approx. KRW 2.32M	−KRW 670K additional tax
KRW 80M	KRW 2.64M	approx. KRW 5.02M	−KRW 2.38M additional tax
KRW 100M	KRW 3.30M	approx. KRW 7.29M	−KRW 3.99M additional tax

As the table shows, roughly KRW 35M/year is the break-even point. Below that, a refund is typical; above, additional tax is typical. Once you cross KRW 50M (entering the 15% taxable-base bracket), additional tax grows quickly. In that range, aggressively using the KRW 9M pension savings + IRP and the Noran-Usan (Yellow Umbrella) mutual aid to pull down the taxable base itself is an effective strategy.

For reference, the 2026 Comprehensive Income Tax Calculator at the top of this article lets you enter expenses directly, while the calculator on this page auto-applies the simple expense rate by job — cross-checking the two gives you a more accurate estimate. If you also have salary income, first use the Salary Take-Home Calculator to pin down the salary portion before considering a combined calculation.

Conclusion: A 10-item checklist to hit May right

A 3.3% refund isn't "money the tax authority returns on its own" — it's money you get back only by filing. If you don't file, the right expires after 5 years, and missing deductions like dependents or pension savings is a direct loss. Run through the checklist below twice — in April and early May.

1. Organize service records from January — compile payer, amount, and withholding receipt by month in Excel
2. Obtain withholding receipts — payers issue them automatically by late February; request if missing
3. Check the April NTS notice — KakaoTalk alert + postal mail; confirm whether you qualify for "All-Fill"
4. Log in to Hometax on May 1 — register joint/simple authentication, check payment statements in My Hometax
5. Try "All-Fill" first — review the estimated refund, then decide whether to switch to regular filing
6. Check dependent deductions — spouse, direct ascendants (age 60+), direct descendants (age 20−), KRW 1.5M each
7. Verify pension savings / IRP contributions — KRW 9M × 12–15% = up to KRW 1.35M tax credit
8. Gather medical, education, and rent data — download from year-end tax settlement simplified service and input
9. Register refund account — must be in your own name; save in advance in Hometax for convenience
10. Review refund claims — re-check missing deductions going back to the May 2021 filing (tax year 2020), up to 5 years

Finally, the calculator in this article provides a simple-expense-rate-based estimate. For actual filing, confirm the final figures via the official Hometax calculator and the "All-Fill" service. If you have a salaried job as well or many extra deductions, consider getting professional help — see our Unfair Dismissal & Unpaid Wages Guide for how to engage experts for related matters. For complex filings, you can also call the free National Tax Consultation Center at ☎126. Don't put it off in May — start preparing in April.