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8. Simplified Taxation
a. Individuals Eligible for Simplified Taxation
	VAT is chargeable on the basis of turnover for a trader whose turnover (or proceeds
	including VAT) of the supply of goods or services during the immediate preceding year is
	less than 48 million won (called"a trader eligible for simplified taxation"). However, a
	trader engaged in mining, manufacturing, professional business such as lawyers,
	accountants, entertainment business subject to special excise tax, wholesale, or real
	estate sales business shall be excluded from the range of a trader eligible for simplified
	taxation.
b. Tax Base and Tax Amount
	(1) Tax base: turnover during the taxable period
	(2) Tax amount payable:
		Tax amount payable =
				Aggregate amount of supply during the concerned taxable period
			X	Average rate of value-added as prescribed by the Presidential Decree for
					each category of business (ranging from 20% through 40%)
			X	10%
c. Return and Payment
	(1) Return and payment period
		A person eligible for simplified taxation is required to file a return and pay the tax
		amount due within 25 days from the end of the taxable period concerned.
	(2) Presentation of tax invoices
		A person eligible for simplified taxation should at the time of each final return submit
		the received tax invoices or a schedule of summary of tax invoices classified by
		place of purchase to the competent tax office.
d. Adjustment and Collection
	(1)    The tax base and tax amount payable of a person eligible for simplified taxation may
		be collected in the same manner as normal taxation.
	(2)    Regarding penalty tax and collection, penalty taxes related to tax invoice are not
		levied on. Additionally, penalty taxes for individual traders that fail to register are imposed
		an amount equivalent to 0.5% of VAT included consideration.
	(3)   Where the tax amount payable is less than 12 million won in a taxable period, the tax
		shall not be collected.
e. Waiver of Simplified Taxation
	A person eligible for simplified taxation may elect to be taxed in the normal way, and if so,
	he or she must make a report thereon to the competent tax office.