Article 14 (Calculation of Tax Base)

The tax base for comprehensive income and retirement income of a resident shall be calculated separately.

The amount of income falling under any of the following subparagraphs shall not be aggregated when calculating the comprehensive income tax base. <Amended by Act No. 11165, Dec. 27, 2010; Act No. 11872, Jul. 14, 2011; Act No. 11614, Jan. 1, 2013; Act No. 12947, Dec. 23, 2014; Act No. 13607, Dec. 15, 2015; Act No. 15219, Dec. 19, 2017; Act No. 16124, Dec. 31, 2018; Act No. 16841, Dec. 31, 2019; Act No. 17767, Dec. 29, 2020; Act No. 20005, Dec. 31, 2023> 1. Income not subject to taxation under the Restriction of Special Taxation Act or Article 12 of this Act 2. Earned income of daily workers (hereinafter referred to as "daily workers") as prescribed by Presidential Decree 3. Interest income and dividend income subject to withholding tax at the rates under Article 129 (2), and excess reimbursements from workplace mutual aid associations under Article 17 (1) 10. 4. Interest income and dividend income received from financial companies, etc. (hereinafter referred to as "financial companies, etc.") as referred to in any item of Article 2 (1) of the Act on Real Name Financial Transactions and Confidentiality, by an association that is not an association recognized as a corporation, which does not distribute profits to its members, and conducts financial transactions under its association name. 5. Income subject to separate taxation under the Restriction of Special Taxation Act. 6. Interest income and dividend income other than those falling under subparagraphs 3 through 5 (excluding dividend income under Article 17 (1) 8), where the sum of such income does not exceed 20 million won (hereinafter referred to as "comprehensive tax base amount for interest income, etc.") and is subject to withholding tax under Article 127. 7. Housing rental income of an individual whose total revenue from business as prescribed by Presidential Decree in the relevant taxable period does not exceed 20 million won (hereinafter referred to as "separately taxed housing rental income"). In this case, matters necessary for the calculation of housing rental income, etc. shall be prescribed by Presidential Decree. 8. Other income falling under any of the following items (hereinafter referred to as "separately taxed other income"): a. Other income under Article 21 (1) 1 through 8, 8-2, 9 through 20, 22, 22-2, and 26 (excluding income under items b and e), where the amount of other income calculated under Article 21 (3) does not exceed 3 million won and is subject to withholding tax under Article 127 (including cases where withholding tax is not imposed pursuant to Article 127 (1) 6 b). However, if a resident with such income chooses to aggregate it when calculating the comprehensive income tax base, such income shall be excluded from separately taxed other income. b. Other income received not as a pension under Article 21 (1) 21. c. Other income under Article 21 (1) 27 and Article 21 (2). d. Lottery winnings under Article 2 of the Lottery and Lottery Fund Act among other income under Article 21 (1) 2. e. Other income prescribed by Presidential Decree similar to the income in item d among other income under Article 21 (1). 9. Pension income under Article 20-3 (1) 2 and 3, falling under any of the following items (excluding cases where a resident with income under item c chooses to aggregate it when calculating the comprehensive income tax base; hereinafter referred to as "separately taxed pension income"): a. Pension income obtained by receiving retirement income as a pension pursuant to Article 20-3 (1) 2 a. b. Pension income withdrawn for medical purposes, due to natural disasters or other unavoidable reasons, or under other conditions prescribed by Presidential Decree, pursuant to Article 20-3 (1) 2 b and c. c. Pension income where the sum of pension income other than that under items a and b does not exceed 15 million won per year. 10. Deleted <Amended by Act No. 11614, Jan. 1, 2013>

Among the income falling under subparagraphs 3 through 6 of paragraph 3, interest income shall be referred to as "separately taxed interest income" and dividend income shall be referred to as "separately taxed dividend income."