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Korea: Domestic minimum top-up tax enacted

Effective for fiscal years beginning on or after January 1, 2026

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March 2, 2026

The National Assembly on December 2, 2025, approved the 2025 tax amendment bills, which included introduction of a domestic minimum top-up tax (DMTT)—to apply in priority to the existing income inclusion rule (IIR) and undertaxed profit rule (UTPR) already in effect—effective for fiscal years beginning on or after January 1, 2026.

Read a February 2026 report prepared by the KPMG member firm in Korea       

In addition, for a detailed discussion of the DMTT, read an August 2025 report prepared by the KPMG member firm in Korea

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