Today, we are going to look at the year-end tax settlement method for mid-term retirees. Since the employee who resigned mid-term also paid the tax accrued from his salary, year-end tax settlement can be carried out. However, it is really difficult to contact a job that you have already left and get the documents. For those of you who have this kind of trouble, today I will explain in detail how to carry out year-end settlement for each case.
<Table of Contents>
1. Year-end settlement of employees who leave mid-term
2. When a person who quits mid-term does not get a job after year-end settlement 중도퇴사자 연말정산
3. How to report global income tax for those who retire early
4. Items that can and cannot be deducted
※ A good article to read together
Ease of year-end tax settlement service 좋은뉴스
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Year-end settlement credit card deduction calculation method, credit card deduction limit
Year-end settlement of medical expenses deductions
Year-end settlement of personal deduction standards
1. Year-end settlement of employees who leave mid-term
If you leave the company in 2021 and then move to another place in the same year, you are eligible for year-end tax settlement. A person who has changed jobs can submit the year-end tax settlement data (income deduction and tax credit data) and the wage and salary income withholding tax receipt received when leaving the workplace to the current workplace and proceed with year-end settlement.
Receive a ‘wage and income withholding tax receipt (payment statement)’ from your previous employer → Submit it to your current employer
Year-end settlement according to the guide of the current employer
2. When a person who quits mid-term does not get a job after year-end settlement
If you are still looking for a job after retirement or are not thinking of finding a job, you are not eligible for year-end tax settlement. In principle, if you leave mid-term, when you pay the wage and salary income of the month you retire from the company, the year-end settlement of the retiree is briefly done. However, most of the cases come out without submitting the year-end tax settlement data when leaving the company. The company pays the last monthly salary after year-end settlement by applying only basic deductions. Therefore, there is a situation where you have to take care of deductions such as insurance premiums, medical expenses, credit cards, and donations yourself.
Items that have not been deducted must be reported directly during the ‘May comprehensive income tax return period’. When filing a global income tax return, you must have a receipt for the withholding tax on income from your previous employer (payment statement). You can file income tax after checking the wage and salary income withholding receipt that you reported at your previous workplace and through the year-end tax simplification service.
You can get a receipt for the withholding tax withholding income from your previous employer upon request. If you leave your previous job without receiving it, you can download it from Hometax after the company electronically reports the employee’s salary statement in March of the following year.
※Hometax login → My Hometax → Submission details such as payment statement
How to check the withholding tax receipt
How to check the withholding tax receipt for early retirement
How to check the withholding tax receipt
How to check the withholding tax receipt for early retirement
3. How to report global income tax for those who retire early
As explained above, if there is an amount that has not been deducted from the year-end settlement due to resignation throughout the year, it can be deducted additionally through the final income tax return in May of the following year. After logging in to Hometax, select Report/Payment. After that, if you click ‘Global Income Tax’ in the tax return, you can select the regular return of the wage and salary income tax return.
If there is a refund after filing a global income tax return in May, you can receive a refund in around July.
※Login at Hometax → Report/Pay → Global income tax → Fill out regular returns
How to report global income tax for those who retire early
How to file global income tax
How to report global income tax for those who retire early
How to file global income tax
How to report global income tax for those who retire early
How to file global income tax
4. What can and cannot be deducted
In principle, year-end settlement is deducted only during the working period. Therefore, those who leave midway must designate the working period and inquire about deduction data. In any case, you must be careful not to over-deduct by calculating the working period incorrectly.
Items that can be deducted only during the working period
Items that can be deducted during working period
There are items that can be deducted regardless of the working period. This item can be deducted on an annual basis.