Korea Inheritance Tax Calculator IGTA §19·§20·§26 (English)

Enter estate, family composition → automatic deductions, 5-tier progressive tax 10-50%, 3% filing credit, family distribution (Civil Act §1009), pre-mortem gifting savings. For foreign heirs + cross-border families.

A. Estate · Debts

Real estate (market) + deposits + Korean stocks + insurance + business assets.
Loans + unpaid taxes
Capped ₩10M

B. Prior gifts (10-year lookback)

Added back to estate per IGTA §13. 5 years for non-heirs.
Deducted from final tax (avoid double taxation)

C. Heirs

₩50M each
₩10M × (19 - age)
₩50M each
~₩200M each (simplified)

D. Financial Deduction + Filing

Deposits + Korean stocks + insurance - financial debts. 20% deduction (cap ₩200M).
Final inheritance tax due

Deduction reference (IGTA §18-§22)

※ Family business succession (up to ₩60B), short-period re-inheritance, foreign tax credit not reflected in V1. Estates ₩500M+ or cross-border → consult Korean tax accountant.

Progressive tax rates (IGTA §26)

3% filing credit if filed within 6 months (§69). Late: 20% non-filing + 0.022%/day late penalty.

Limited acceptance · renunciation (Civil Act §1019)

📌 Official Sources · References

This calculator estimates Korean inheritance tax using 5-tier progressive + standard deductions. Cross-border estates (foreign assets, dual citizenship, US/EU/JP tax treaty), family business succession (gajeop sangsok up to ₩60B), short-period re-inheritance, generation-skipping surcharge, beneficial transfer (taking debt) not included in V1. For estates ₩500M+ or cross-border, consult Korean tax accountant + home-country international tax advisor.

Frequently Asked Questions

Do foreign heirs pay Korean inheritance tax?

Yes — foreign heirs are taxed equally under Korean law (IGTA §1). Tax base depends on deceased's residency status, NOT heir's nationality. Resident Korean (5+ years residency): worldwide assets taxed. Non-resident: only Korean-source assets (real estate, deposits, KOSPI stocks, insurance). Foreign spouse fully eligible for ₩3B spouse deduction. Foreign children ₩50M each. Same progressive 10-50% rates. Filing: Hometax within 6 months, 3% filing credit if on-time, 20% non-filing penalty if late.

How does spouse deduction work?

IGTA §19 — spouse deduction = max(₩500M, min(legal share × estate value, ₩3B)). Examples: Spouse only = 100% share, can claim ₩3B if estate ≥ ₩3B. Spouse + 2 children = 1.5/3.5 = 43%. Estate ₩100B → 43B → capped ₩3B. Estate ₩1B + spouse + 1 child = 60% → ₩600M actual. Foreign spouse fully eligible. Strategic use can eliminate inheritance tax for estates under ₩4B.

What is the 6-month filing deadline?

6 months from end of month of death (IGTA §67). Hometax (hometax.go.kr) — requires Korean Foreign Resident Number. Tax accountant for cross-border ₩500K-5M. 3% filing credit if on-time (§69). Late: 20% non-filing + 0.022%/day late penalty. Payment: cash, 2-installment, or 10-year annuity. Cross-border: file in both Korea + home country with foreign tax credit.

How does Korea-US/EU/JP tax treaty work?

Korea-US: Korean estate tax + US Federal Estate Tax. US citizens exemption ~$13.6M, non-citizens with US property $60K. File both, claim foreign tax credit. Korea-Japan: 10-55% Japan rate (steepest). Korea-EU: bilateral treaties. Germany 7-30%, France spouse exempt, UK 40% above £325K. Real estate: taxed where located. Bank/stocks: taxed in deceased's residence. ₩500M+ estates need both Korean + home-country international tax advisor.

How does family distribution work?

Civil Act §1009 — spouse 1.5 + each child 1.0. Spouse + 2 children = 3.5 shares → spouse 43%, each child 28.5%. Spouse + 1 child = 2.5 → spouse 60%, child 40%. Spouse only = 100%. Foreign spouse + foreign children identical rights. Forced heirship (유류분, §1112-1118): 1/2 statutory share guaranteed even against will. Foreign heirs protected. Notarized will (₩300K-1M) recommended for cross-cultural families.