Home 3.3% withholding

3.3% withholding

Income tax of 3% and local tax of 10% drop below 10 won. The amount stays in this browser.

Why this exists

The 3.3% is not one multiplication. Three percent is floored to 10 won, then 10% of that tax is floored to 10 won again.

When the account should receive an exact amount, the contract side looks for a take-home that reaches it.

  1. 01How to use it

    Choose take-home or the contract.

    Type an amount. Commas and the won sign are ignored.

    Copy the tax lines and four lines go to the clipboard.

  2. 02What you get

    Take-home on 1,000,000 won is 967,000 won.

    Asking for 967,000 won backward gives a contract of 999,980 won, and take-home is 967,000 won again.

    Entered1,000,000 won

    Take-home 967,000 won
    1,000 won Local tax 0
    Backward 999,980 won
    Limit Up to 100 billion

  3. 03Worth knowing

    Income tax is 10 times floor(3 times the amount divided by 1,000).

    Local tax is 10 times floor(income tax divided by 100).

    The backward search keeps the first amount whose take-home reaches the target.

    This screen is not the yearly income-tax settlement.

Questions

Q3.3% is not exact.
ABecause the floor happens twice, the result can differ by a won from multiplying by 3.3% once.
QWhat about under 10 won?
ALocal tax on 1,000 won is 0 won. Ten percent of 30 won is 3 won, and anything under 10 won is dropped.
QWhat about the yearly return?
AThe amount here is tax taken in advance. The return next May settles it against the real tax.
QIs it saved?
AIt is not saved. The arithmetic stays in this tab.
  • # 3.3%
  • # income tax
  • # local tax
  • # take-home