Real Estate & Tax Β· πŸ‡°πŸ‡· Korea

Gift vs. Sell vs. Hold (Korea Property Tax)

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Compare after-tax proceeds across sell, gift, and 10-year hold scenarios for Korean property.

About this tool

Korean Gift-vs-Sell-vs-Hold Calculator simulates after-tax proceeds across three scenarios β€” sell now, gift now, sell 10 years later β€” when transferring property to a spouse or descendant. From acquisition cost, current value, holding/residency period, gift recipient, and assumed appreciation, it computes capital-gains tax (auto-branched long-hold deduction Tables 1/2), gift tax (β‚©50M descendant / β‚©600M spouse exemption), 1-house non-taxable up to β‚©1.2B, the 10-year carryover-tax rule (Income Tax Act Β§97-2), and burden-bearing gifts. It also flags low-price-sale (under-30% deemed gift) and the temporary-2-house 3-year exemption. All math is client-side.

Use cases

Scenario 1

1-house over β‚©1.2B

For a β‚©1.5B sale on a single home, simulate the over-β‚©1.2B portion taxed Γ— Table-2 80% long-hold deduction.

Scenario 2

Gift to child vs hold

Compare gift tax after the β‚©50M descendant exemption against the child's asset value if held 10 more years.

Scenario 3

Burden-bearing gift with loan

Transfer with loan assumption β€” split capital-gains on the debt portion vs gift tax on the rest.

Scenario 4

Carryover-tax avoidance

If the recipient sells within 10 years of a spouse-gift, the donor's acquisition cost applies β€” see the savings vanish.

Scenario 5

Temporary 2-house 3-yr exemption

Within 3 years of a new home, sell the prior home and simulate 1-house non-taxable applicability.

Features

  • Sell now / gift now / sell-in-10-yr scenarios
  • 1-house β‚©1.2B non-tax + 80% long-hold deduction
  • Long-hold Tables 1 / 2 auto-branched (residency)
  • Burden-bearing gift split calc
  • Carryover-tax Β§97-2 10-yr rule applied
  • Auto exemption by recipient class
  • URL share + fully in-browser

Frequently asked

Q. What qualifies for 1-house non-tax?
A. All household members hold no other home, at least 2 years of holding (residency too in regulated zones), sale ≀ β‚©1.2B β†’ fully non-taxable. Above β‚©1.2B is taxed but Table-2 80% long-hold deduction applies.
Q. Low-price sale to child = gift tax?
A. Between related parties, if the discount exceeds the lower of 30% of fair value or β‚©300M, the gap is deemed a gift and taxed (Inheritance & Gift Tax Act Β§35).
Q. What's carryover taxation?
A. Selling a gifted property from spouse / lineal kin within 10 years (post-2023-01 acquisitions) reverts to the donor's basis (Β§97-2), blocking step-up-to-gift strategies.
Q. Do gifts within 10 years aggregate?
A. Yes β€” gifts from one giver (parents combined) within 10 years aggregate at progressive rates. Spreading them out matters.
Q. Can I close on this result alone?
A. No. It's a rough early-stage estimate. Actual tax depends on standard prices, appraisals, supporting docs, and household composition β€” consult a tax professional.

Sources / references

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How we run it / disclaimer

This tool is advisory and does not constitute legal, tax, medical, or financial advice. All calculations and document generation run in your browser; inputs are never sent to a server. Ads follow Google AdSense policy and are kept separate from tool accuracy.