The Ministry of SMEs and Startups (MSS) and the National Tax Service said on the 18th that they signed a memorandum of understanding (MOU) at the Seoul Regional Tax Service to support the growth of AI small and medium-sized corporations and startups.
Under the MOU, if the MSS specifies tax administration support in AI-dedicated support programs and provides the National Tax Service with a list of AI small and medium-sized corporations and startups eligible for such support, the National Tax Service will help accelerate AI SMEs' growth by minimizing tax audits; offering prior reviews for research and development (R&D) tax credit applications; providing liquidity support such as extensions of payment deadlines; and consulting on tax issues.
The two agencies will establish a support system to promote the development and use of AI by AI small and medium-sized corporations and startups. The MSS will support R&D and commercialization for developing AI models and services for SMEs, improvements in productivity and quality through the application of AI technology, and greater efficiency in corporate management. The National Tax Service will actively support, from a tax administration standpoint, real-world challenges corporations face, such as tax filing and verification and cash-flow issues related to taxes.
Minister Han Seong-sook of the Ministry of SMEs and Startups (MSS) said, "Through the MOU between the two ministries, we have laid the groundwork for core AI small and medium-sized corporations that will lead the future of our AI industry to grow rapidly," adding, "We will do our best to expand interagency cooperation by field and build an all-cycle support and cooperation system so that AI SMEs and startups can grow into global corporations."
National Tax Service Commissioner Lim Gwang-hyeon said, "It is more important than anything else that SMEs, venture corporations, and startups—the backbone of our economy—achieve innovation and growth based on AI technology," adding, "We will continue to work with the MSS so that today's agreement does not remain a mere declaration but provides tangible help that AI corporations can feel in the field."
Ha Jung-woo, senior secretary for AI future planning at the presidential office, said, "SMEs and startups are the key driving force and the main players who will create the future for Korea to leap into the global top three in AI," adding, "We hope the two institutions will break down ministerial silos and bring about changes that corporations can feel, and the government will provide full-scale support to make that happen."