As most tax incentives related to corporate and personal income tax for foreign investors have been nullified effective from January 1, 2019, the Korean government has significantly expanded its cash grant program under the Foreign Investment Promotion Act. These grants are provided on a matching-fund basis by both central and local governments, requiring strategic planning and coordination.

BDO Sunghyun offers comprehensive advisory services throughout the entire process, including:

• Designing an optimal investment structure tailored to investor needs, including customs duties, local tax incentives, cash grants, and site support
• Preparing all required documentation, including investment plans
• Developing a 5-year financial projection and verifying sources of funding
• Facilitating negotiations and communication with relevant ministries and local governments
• Representing clients in presentations before the Cash Grant Evaluation Committee
• Supporting post-grant compliance and management