GANGNEUNG CITY ENG - 솔향강릉

Incentives for Investors

Tax reduction/exemption

• Customs duties
  • Imported capital goods : Tax exemption for 5 years
• Acquisition tax & property tax (local taxes)
  • Manufacturing, tourism, recreation, international conference facilities, youth training facilities, logistics, and medical institutions and R&D : Tax exemption for 5 years + 50 % reduction for 2 years
  • Industrial technology as a new growth engine : Tax exemption for 5 years + 50 % reduction for 2 years
  • Corporate research institutes (small and medium-sized enterprises) : 60% reduction in acquisition tax and 50% reduction in property tax
  • In other cases : 35% reduction in acquisition tax and property tax

Business site support

• Rent reduction

  Business site support(Rent reduction) - Foreign investment (USD 10 million), Number of employees (persons/day), Export ratio (%), Reduction

  Foreign investment (USD 10 million)	Number of employees (persons/day)	Export ratio (%)	Reduction
  2	300	100	100%
  1~2	200~300	75~100	75%
  0.5~1	100~200	50~75	50%

• Purchase
  • Foreign-invested company : Can purchase property through a private contract at the cost of construction (state-owned or public property)

Cash support

• Conditions
  • A foreign-invested company based in Korea with a foreign investment ratio of 30% or greater
  • New construction or extension of a high-tech or parts/material manufacturing factory or R&D facility (staffed with at least 5 researchers with master’s degrees), etc.
  • Details of support : Determined by negotiation (up to 30% of the investment amount (40% for an R&D facility)

Infrastructural support

• Providing infrastructure such as roads, railroads, airports, port facilities, water and sewerage facilities, waste treatment facilities, etc.: 50% of the cost paid for with the national budget (100% if approved by the Commission for the Korean Free Economic Zones)

Others

• Easing of labor regulations : Not subject to the compulsory employment of persons with disabilities or the restrictions on the period and scope of work for dispatched workers and permitted to provide unpaid leave
• Foreign exchange transaction : Non-reported foreign exchange transactions permitted for up to USD 20,000
• Administrative support : One-stop administrative support and official document service in foreign languages provided upon request