(1) The interim tax shall be calculated by any of the following methods; provided, a domestic corporation (excluding a corporation prescribed by Presidential Decree in consideration of the sales, etc. by business type) belonging to the business group subject to disclosure under Article 31 (1) of the Monopoly Regulation and Fair Trade Act as of the end date of the immediately preceding business year shall calculate the interim tax by the method specified in subparagraph 2: <Amended on Dec. 31, 2019; Dec. 31, 2024>
1. Method based on the calculated tax amount of the immediately preceding business year; Deduction limit amount = A ? B/CA: Calculated tax amount for the relevant business year (excluding corporate tax on capital gains on the transfer of land, etc. under Article 55-2 and corporate tax calculated by applying special tax provisions for promoting investment and collaborative cooperation under Article 100-32 of the Restriction of Special Taxation ActB: Total amount of income paid by an indirect investment company, etc. (limited to where indirect investment foreign corporate tax has been paid on the relevant income)C: Tax base on income for the relevant business year.D: The amount of occasionally imposed corporate tax paid in the business year immediately preceding the relevant business year.E: The number of months for the relevant business year. In such cases, the number of months shall be calculated by calendar, and the number of days less than one month shall be deemed one month.
2. Method based on the corporate tax amount for the relevant interim prepayment period. Interim tax = (A ? B ? C ? D)A: Regard the relevant interim prepayment period as one business year, and the amount of corporate tax calculated by applying Article 55 to the tax base calculated under Chapter II Section 1B: The amount of tax reductions or exemptions corresponding to the relevant interim prepayment period (excluding the amount deducted from income);C: The amount of withholding tax paid as corporate tax during the relevant interim prepayment period;D: The amount of occasionally imposed corporate tax during the relevant interim prepayment period.
(2) Notwithstanding the main clause of paragraph (1), the amount of interim tax shall be calculated by the methods classified in the relevant following subparagtraphs, in any of the following cases: <Amended on Dec. 31, 2019; Dec. 22, 2020; Dec. 31, 2024>
1. Where the amount of interim tax is not paid by the deadline for interim prepayment under Article 63 (3) (excluding cases specified in the proviso, with the exception of the subparagraphs, of paragraph (1), or any item of subparagraph 2 of this paragraph): The method in paragraph (1) 1;
2. In any of the following cases: The method in paragraph (1) 2:(a) Where a corporation has no calculated amount of tax finally assessed as corporate tax for the immediately preceding business year (excluding a corporation in any subparagraph of Article 51-2 (1) or Article 104-31 (1) of the Act on Restriction on Special Cases concerning Taxation);(b) Where the amount of corporate tax for the immediately preceding business year has not been finally assessed by the end of the relevant interim prepayment period;(c) Where the relevant business year is the first business year after the relevant corporation is newly incorporated through a division or its counter-party corporation to a division is merged through a division;(d) Where a merging corporation or a merged corporation qualifies as a domestic corporation under the proviso, with the exception of the subparagraphs, of paragraph (1) at the time of merger, and it is the first business year following the merger of the relevant merging corporation.
(3) Where a corporation surviving a merger pays interim tax computed under paragraph (1) for the first business year after the merger, any of the following business years shall be all construed as the immediately preceding business year in paragraph (1) 1:
1. The immediately preceding business year of a corporation surviving a merger;
2. The business year immediately preceding the business year which includes the registration date of the merger of each merged corporation.
(4) Where a corporation which becomes ineligible for the consolidated tax return system under Articles 76-9, 76-10 and 76-12 pays interim tax computed under paragraph (1) in the first business year in which it becomes ineligible for the consolidated tax return system, the computed tax for the immediately preceding consolidated business year by consolidated corporation as prescribed in Article 76-15 (4) shall be construed as the computed amount of tax which has been determined as corporate tax for the immediately preceding business year referred to in paragraph (1).
(5) The head of the tax office having jurisdiction over the place of tax payment shall not collect corporate tax on the relevant interim prepayment period from a corporation which does not have any amount of income due to the suspension of its business during the interim prepayment period, where such fact is verified.[This Article Added on Dec. 24, 2018]