Policies

Electronic Tax System

Date 2017-07-05 Category E-Government Updater ssunha
Date
2015-06-25
Last Update
2017-07-05

Background Information and Product Introduction

+ Corresponding to the widespread Internet environment, the tax payment system has been introduced so that all Seoul taxes can be paid easily and conveniently in any place, any time.
+ A convenient tax payment system that enables citizens to pay by cash or credit cards, the local taxes and bills imposed by Seoul City, its affiliated agencies, and district offices in order to remove the inconvenience of visiting banks for tax payment.
+ At the ETAX website, or mobile S-Tax, taxpayers can view taxes and arrears, tax receipts and payments, and accumulate tax mileage.
+ It is possible to make tax payments through a variety of means such as the Internet, mobile phones, convenience stores, CD / ATM, ARS and smartphones.

Composition

+ ‘Seoul ETAX’ website
The official Internet payment system of Seoul that enables viewing tax, arrears, tax receipts and tax payments as well as accumulating tax mileage (Korean and English website in operation)

+ ‘Seoul S-Tax’ mobile application
Motor vehicle tax, property taxes, water rates and parking fines and more than 400 other types of tax, can be viewed and/or paid via smartphone using the mobile app.

 

Function

+ View / pay tax
Pay, view and book various tax payments such as local taxes, non-tax revenue, and water sewage charges.
+ Tax Filing / Payment
File and pay taxes such as acquisition tax, registration license tax, local income tax, resident tax, motor vehicle tax and leisure tax.
+ Confirm payment receipt
Confirm and / or print legally effective tax receipts.
+ View and apply for refund
Apply for or query tax refunds.
+ Electronic Notices
Check or apply for electronic notices by signing up as member on the website. ETAX members can receive secure emails or SMS regarding local taxes and non-tax revenue.
+ Mileage System
After applying for electronic notices, receive mileage of 500 won for each electronic tax payment.
+ Local Tax Information Provided
Provide a variety of information about local taxes such as examples and legislation.
 

Application Example and Operation Outcome

• Rapid increase in electronic tax user numbers
In 2006, online payments were at a proportion of 11.7%. Whereas in 2013, with ETAX and electronic payment methods (virtual accounts, CD/ATM, smartphone), there was a total number of 1,610,000 cases with an excess of 79.6% of the total payments.
 
• ETAX System Benchmarking by Local Governments
Using benchmarking from ETAX, all national local governments have started to use ETAX, since it first went into operation. Since 2007, Ministry of Safety and Public Administration(MOSPA) launched WETAX, an online tax payment system for all the local governments, similar to ETAX
 
• Domestic and International Certification and Awards
Japan, Thailand, Uzbekistan benchmarked ETAX
 

Seoul City Special Operations Strategy

• Cooperative Network with Private Sector for System Building
Bank transfers for tax payments and credit card transaction system are essential elements for seamless system linkages between financial institutions. MOSPA, Korean Financial Telecommunications and Clearings Institute, and close cooperative networks have been formed through E-TAX with Woori Bank as a pivot linking 22 other banks and credit card companies.
 
• Strong Security Measures to Protect Taxpayer Privacy
To protect taxpayer privacy, prevention of keyboard hacking, private firewalls, website security solutions and a cryptography module have been applied. Through the provision of certification-based services, private tax information is protected from external queries. Additionally, by locating the internet servers and database servers to a physically separate network, even in case of a web server attack, access to the personal data stored in the database server is fundamentally blocked. Database encryption handling is utilized and measures are taken to avoid any possible data loss.
 
• Legal Provisions Provided for Electronic Payment Method
In 2010, articles on

Major Expectations

• Improved payment rate as anyone, without the constraints of time and space, can easily and conveniently inquire about and pay taxes.
• Through the decrease in bill and envelope production and mailing costs, social costs will decrease
• Notification of local taxes for taxpayers and all payment related processes can be checked. Tax payments are convenient and transparent. Reliability ensured.
• Improved international competitiveness through the provision of an English website for foreign taxpayers
 

Law Provisions

• Digitization of local tax business related to information system (Local Tax Act, Article142)
• Establishment and implementation of local tax collection information system planning. (Article 142 - 2)
• Delivery of electronic notice related documents (Local Tax Act, Article 28)
• Ordinance on support for mileage for Seoul’s model taxpayers. (Article 3 Support related with tax mileage)
• Regulation for ordinance on support for Seoul’s model taxpayers. (Article 3 Selection and support for electronic taxpayers)