Foreign professionals leaving Korea due to hefty taxes
gettyimagesbankGreater tax incentives needed to attract more skilled foreignersBy Lee Kyung-min A growing number of foreign professionals are leaving Korea due to hefty taxes on their income and capital gains, which are much higher than in Hong Kong or Singapore.Heavy taxation aside, frequent policy changes and arbitrary implementation of tax codes are among many reasons why foreigners find Korea increasingly unattractive to work.The failure to draw and retain competitive foreign human resources adds to the country's “brain drain” concerns, a decades-long problem in high-tech, research-intensive sectors where success is determined by a highly educated workforce. “Many top executive and foreign employees should make a significant decision after staying here for five years,” American Chamber of Commerce in Korea (AMCHAM) Chairman and CEO James Kim told The Korea Times.The tax rate on earned income for foreigners stays at 19 percent for the first five years of employment here, a form of tax incentive put in place to attract skilled foreigners.If they are under co
