Various benefits are given to start-up SMEs (for SMEs established outside the metropolitan area before Dec.31, 2006) and venture start-ups (confirmed as a venture start-up company by the SMBA within two years of its establishment). The benefits include reduction of national taxes such as corporate tax and income tax, as well as local taxes such as acquisition tax and registration tax.
| Relevant Regulation | Details | |
| Corporate Tax Income Tax | Art. 6 of the Special Tax Treatment Control Act | 50% tax reduction from the tax year in which the initial profits were recorded until five years from the beginning of the following tax year. |
| Royalty Tax | Art. 116 of the Special Tax Treatment Control Act | No stamp duty for documents such as certificate, bank account or contract needed for the application of a loan at a financial institution, if the loan is applied for within two years of business establishment. However, the only businesses that are eligible are those established pursuant to the Support for Small and Medium Enterprise Establishment Act. |
| Registration Tax | Art. 119 of the Special Tax Treatment Control Act | No registration tax for assets needed for businesses that are acquired within two years after business establishment. |
| Special Tax for Rural Development | Art. 4 of the Special Tax for Rural Development Act | No Special tax for rural development (20% of tax reduction) is levied on tax reductions of corporate tax, acquisition tax, registration tax or income tax of the established SME. |
| Property Tax Comprehensive Land Tax | Art. 121 of the Special Tax Treatment Control Act | 50% reduction of property tax and comprehensive land tax for five years from the date of business establishment for assets in possession of the company and needed for the business activities of the company. |
