Guidance on Overseas Financial Account Reporting
6/2/2018
Under the International Tax Coordination Law of Korea, if Korean resident individuals or domestic companies have financial accounts opened with overseas financial institutions and the total value of such accounts exceeds KRW 1 billion on any last day of each month of the relevant year, the Korean residents and domestic companies are required to file a report on their overseas financial accounts to the tax office from June 1 to 30 of the following year.
If the non-reported or underreported amount exceeds KRW 5 billion, the Korean resident individuals or companies that violated reporting requirements can be subject to imprisonment of up to 2 years or a fine of up to 20% of the amount in violation.