Double Taxation Agreement Korea

4. The competent authorities of the contracting states may communicate directly with each other in order to reach an agreement in accordance with the preceding paragraphs. Korea has social security agreements with Australia, Austria, Belgium, Brazil, Bulgaria, Canada, Chile, China, Croatia, Czech Republic, Denmark, Finland, France, Germany, Hungary, India, Iran, Ireland, Italy, Japan, Luxembourg, Mongolia, Netherlands, Peru, Poland, Quebec, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland, Turkey, United Kingdom, United States and Uzbekistan from March 2020. Social security agreements are intended to help those who have paid bonuses to national pension plans in two different countries; it allows them to obtain benefits by combining the overall coverage periods in the two countries (i.e. totalization). However, the agreement needs to be reviewed, as the detailed provisions may vary depending on the agreement. Where agreement on an oral exchange of views on an opening is possible, such an exchange of views may take place through a commission made up of representatives of the competent authorities of the contracting state. In an effort to conclude an agreement to avoid double taxation and prevent income tax evasion, Korea has, in addition to income tax agreements, with many countries, including some tax havens and those that have tentatively concluded such agreements. TIEA coverage covers Andorra, Bermuda, the British Virgin Islands and the Cook Islands, to name a few. TIEAs include information necessary to manage and enforce national tax law, including details relating to the registration of tax payers, information relating to the ownership of the business, accounting documents and accounts of a given transaction, as well as information on individual or corporate financial transactions.

TIEAs create a framework for Korea to reduce abusive tax evasion with tax havens and to disclose and collect taxes on offshore tax evasion. In addition, Korea is one of 136 countries that have joined the Multilateral Convention on Mutual Tax Assistance since March 2020. 4. The competent authorities of the contracting states may communicate directly with each other in order to reach an agreement in accordance with the preceding paragraphs. Where agreement on an oral exchange of views on an opening is possible, such an exchange of views may take place through a commission made up of representatives of the competent authorities of the contracting state. Article 27 EXCHANGE OF INFORMATIONS 1. The competent authorities exchange the information (including documents) necessary for the application of the provisions of this convention or the national legislation of the contracting states relating to the taxes covered by the convention, provided that the tax-free tax is not contrary to the convention, in particular to prevent fraud or fraud of these taxes. Article 1 does not limit the exchange of information.

All information received from a State Party is treated in the same way as information obtained under that state`s national law.

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