Cash Receipt System: Who Qualifies and What You Get
Learn how to claim a 30% tax deduction on your cash purchases through the national cash receipt system.
The Cash Receipt System allows you to claim a tax deduction for the money you spend when paying with cash instead of a card.
Who it's for
This system is available to all consumers who make purchases using cash.
What you get
When you use this system, you can receive a 30% income tax deduction on your cash payments. This can help reduce your overall tax burden during your year-end tax settlements.
What it costs you
There is no monetary cost to use this system. It simply requires you to provide your phone number at the point-of-sale (POS) terminal during your transaction to register the receipt.
The catch to know
The main thing to remember is to proactively ask for a receipt at smaller shops. If you do not request the receipt at the time of purchase, you may miss out on the deduction.
How to apply
- Present your phone number at the store's payment terminal during a cash transaction.
- Ensure the merchant issues a formal cash receipt (현금영수증) to your registered number.
- Verify that your details are correctly linked to the system for your year-end settlement.
- For more details, visit the official portal: https://www.hometax.go.kr