If you have resigned and then transferred to a new job in 2024, you might be wondering how this process is handled for year-end tax settlement. Below, we’ll explore some common queries regarding this situation.
How does post-resignation job transfers affect your year-end tax settlement?
If you changed jobs in 2024 after resigning from your previous position, your current employer must include your previous workplace’s income when processing your year-end tax adjustment.
For your year-end tax settlement, you’ll need to submit a Certificate of Income Withholding Receipt (근로소득 원천징수영수증) from your former employer to your current company. If you don’t combine both incomes during the February tax adjustment period, you’ll need to file voluntarily a comprehensive income tax declaration in May. Failure to file in May will result in an under-reporting tax penalty.
After resigning this year, what if I’m not currently working at another company?
If you resigned during the year, your year-end tax adjustment will be processed when you receive your final salary payment. The company can only include basic personal deductions, as other deduction items won’t be available through Hometax until January of the following year. Therefore, the settlement processed by your last employer is preliminary rather than final. You can maximize your tax refund by voluntarily filing additional deduction items in May.
The income tax deduction for credit card expenses only covers spending during your employment period—any expenses after retirement are not eligible for deduction.
Disclaimer : This content is a translation of material originally published in Korean by the National Tax Service of the Republic of Korea. While efforts have been made to ensure accuracy, this translation is provided for informational purposes only and does not carry legal weight. In the event of any discrepancy, the original Korean version shall prevail. Users should consult the official Korean documents for precise interpretation. This translation does not constitute legal advice. The translators and publishers shall not be held liable for any loss arising from reliance on this translation.