Korea Tax Accounting Level 1 (세무회계 1급) flashcards
Korea Tax Accounting Level 1 (세무회계 1급) · Build recall with a focused review session.
21 cards. Read the term and the definition here. The deck at the top of this page is optional.
- Tax reconciliation
- The process of adjusting accounting income under the applicable tax rules to derive the relevant taxable amount.
- Expense disallowance
- An adjustment removing an accounting expense from the deductions allowed for tax under the relevant rule.
- Taxable inclusion
- An adjustment adding an amount to the taxable income calculation when required by the applicable tax treatment.
- Temporary difference
- A difference in accounting and tax recognition that can reverse in a later period under the relevant treatment.
- Permanent difference
- A difference that does not reverse through ordinary later recognition of the same item under the defined treatment.
- Income disposition
- Classification of an adjustment according to its legally relevant attribution and character, not automatically a single default category.
- Loss utilization
- Application of eligible tax losses against income under the relevant year, limits and conditions rather than an assumed unrestricted offset.
- Withholding
- Collection of tax by a payer from a specified payment under the applicable rules, not necessarily the recipient’s final liability.
- Taxable remuneration
- The employment-payment amount included in the relevant tax calculation after applying the actual classification and exclusion rules.
- Payroll payable
- An amount owed in connection with employee remuneration or related deductions, requiring reconciliation to the supporting payroll record.
- Year-end settlement
- A reconciliation of annual earned-income tax under the applicable rules with the tax already collected through withholding.
- Income deduction
- An amount reducing the relevant income or taxable base under the applicable calculation rather than directly reducing calculated tax.
- Tax credit
- An amount reducing calculated tax subject to relevant conditions, distinct from an income deduction or an automatic cash refund.
- Net pay
- The amount payable to an employee after the specified deductions, which must be distinguished from gross remuneration.
- Output tax
- VAT calculated on the relevant taxable supplies under the applicable rate, timing and transaction rules.
- Input tax
- VAT incurred on purchases, whose recoverability depends on the applicable business use, evidence and statutory conditions.
- Zero rating
- Application of a zero output rate within the relevant VAT framework, distinct from an exempt transaction’s input-tax consequences.
- VAT exemption
- Treatment removing a supply from positive output taxation under the applicable framework, with relevant consequences for input tax recovery.
- Tax invoice
- A document evidencing a relevant transaction and tax information under the applicable requirements, not automatic proof of deductible input tax.
- Tax-inclusive amount
- An amount containing both the supply value and the tax calculated at the stated rate, requiring separation for the appropriate calculation.
- Allocation
- Assignment of a shared amount between relevant activities or categories according to the applicable documented method.