South Korea Assembly Considers Bill to Partially Amend Special Tax Measures Act

The South Korean National Assembly Oct. 21 accepted for consideration Bill No. 2213656, to partially amend the Special Tax Measures Act. The bill includes measures to: 1) establish a domestic production promotion tax system, providing tax credits directly linked to domestic production; 2) allow income or corporate tax deductions for Korean producers who manufacture and sell designated goods within Korea by Dec. 31, 2035; 3) require that, to qualify for the tax credit, a specified proportion of parts, materials, and equipment used in production be domestically sourced; 4) limit the tax deduction to 20 percent of the relevant tax per ...