Missed Gift Tax Filing Deadline? Correct It in 5 Steps with a Claim for Correction

If you missed the gift tax filing deadline, you can correct it with a claim for correction, but the process must proceed step by step.

Investor:

"Is it a big problem if I do not file?"

If you do not file, additional tax and penalties may apply, so you should correct it promptly.

Quick answer: summarized in 5 steps

→ 1. Verify facts → 2. Gather documents → 3. Recalculate tax → 4. Submit claim for correction → 5. Payment and objection procedures.

Step 1: Confirm when, which stocks, and who received them

Record the gift date and the names and resident registration numbers of donor and recipient first.

If the gifted item is 'stock', check the stock name, quantity, issuing company, and account information.

The tax calculation start date for gift tax is the date the gift actually took place.

Step 2: Collect required documents

Prepare evidence such as the gift contract, remittance details, and account transfer confirmations.

If the stock transfer occurred via account transfer, capture the transaction history.

Step 3: Recalculate the tax amount

Reassess the valuation of gifted assets and apply the tax base and rates to calculate the tax amount.

Check the National Tax Service for the latest valuation standards and tax rates used in gift tax calculations.

Step 4: How to prepare and submit the claim for correction

Submit the claim for correction to the National Tax Service with supporting documents attached.

Keep the receipt number after submission.

Step 5: Payment and subsequent procedures

If additional tax is determined, pay within the notified deadline.

If payment is difficult, consider installment payment or filing an objection.

Investor:

"What if this still does not work?"

First contact your local tax office for consultation and consider consulting a tax accountant if necessary.

Tips and precautions for correcting the filing

• Keep original evidence whenever possible, as originals have stronger probative value.
• Time calculation matters, as penalties for delayed filing may be applied, so start the process quickly.
• For proxy submissions, a power of attorney is required.

So, what to start with

→ 1. Immediately organize the gift date and stock details.

→ 2. Gather supporting documents (contract, transfer records) as much as possible.

→ 3. First check with your local tax office whether a claim for correction is possible.

For reference only.

PickStock 💡

※ Investment decisions and responsibility rest with the investor.

※ Figures are as of the time of writing and may change.

※ This article is for information purposes and does not constitute investment solicitation.