Incheon City said on the 9th that it devised, for the first time in the country, a collection method for freelancers and other sole proprietors who had been in a blind spot for delinquent tax collection, and collected 400 million won.
Until now, even if sole proprietors fell behind on taxes, local governments had difficulty confirming their income, making it hard to pursue collection. Incheon City noted that these taxpayers are also subject to withholding when they earn income, so their income amounts are reported to the National Tax Service. Incheon City obtained withholding data from the National Tax Service and, based on that, seized the delinquents' income.
With this measure, an oriental medicine doctor, identified as A, who had been delinquent on 190 million won in taxes for four years, immediately paid 40 million won and submitted a performance commitment letter to pay the remaining 150 million won in monthly installments of 30 million won.
A used car salesperson, identified as B, also immediately paid 8 million won of the 16 million won in arrears and pledged to pay the remaining 8 million won next month.
Using this method, Incheon City recovered 400 million won in delinquent taxes from 873 delinquents. It immediately carried out seizure measures against 89 high-income earners with arrears of 5 million won or more, and plans to induce voluntary payment by the remaining 784 people by the end of this month.