PART 1: The Meaning of a Family Corporation and Reasons for Creating One

01.
What is a family corporation?
02.
Why create a family corporation?
03.
For a family corporation to transfer wealth, the parents' recognition of necessity comes first.

04.
Establishing a family corporation should be considered with a long-term perspective.


PART 2: How to Establish a Family Corporation and Precautions When Establishing a Family Corporation

01.
Decisions for establishing a family corporation
02.
Should I go with a limited company or a joint stock company?
03.
Shareholder composition of a family corporation
04.
Precautions when including minor children as shareholders
05.
Penalty for small corporations subject to verification of honest reporting

PART 3: Family Corporation Headquarters Location and Acquisition Tax Issues

01.
For a real estate family corporation, the address of the corporation's head office is important.

02.
Whether the rental property corresponds to a branch
03.
Precautions for establishing corporate headquarters and branches
04.
If a parking lot or unmanned store is operated as a rental property, does it count as a branch?
05.
If a head office is located outside a major city, is it possible to avoid excessive taxation? (Example of additional taxation)

PART 4 ​​Tax Laws and Precautions Related to Family Corporations

01.
Donation of profits through transactions with specific corporations
02.
Specific corporations include domestic and foreign corporations.
03.
Criteria for determining gift gains of 100 million won
04.
Criteria for determining identical transactions through a specific corporation
05.
Tax calculation for donations to specific corporations
06.
Restrictions on capital transactions through family corporations (new in 2025)

PART 5 Tax Savings Using Real Estate Family Corporations

01.
Examples of using parents' spare funds
02.
How to Create a Child Funding Source Through a Family Corporation
03.
Precautions for Housing Investment Using a Family Corporation
04.
How to utilize your parents' land
05.
Incorporation of personal real estate
06.
Dividends using family corporations (interim and differential dividends)
07.
Case study on establishing a real estate family corporation

PART 6: Real Estate Construction and Operation Using a Family Corporation

01.
Long-term holding for profit vs. short-term selling after value increases
02.
Types of new construction businesses suitable for long-term holding profit
03.
Types of businesses suitable for short-term sales after construction
04.
High-yield new housing construction (multi-family vs. multi-unit housing)
05.
Preparing for retirement by building a new studio apartment (in your own name)
06.
Geunsaeng Building, the flower of corporate real estate investment
07.
Value-added tax is the key to investing in commercial buildings.

PART 7 Tax-Saving Methods for Family Corporation Operations and Tax Investigation Issues

01.
Issues regarding drafting of loan agreements (loan certificates) and tax audits
02.
How to change the purchaser of real estate under the name of a family corporation and how to save on tax by timing the purchase
03.
Tax-saving methods for corporate joint investment using anonymous partnerships under the Commercial Act
04.
The correlation between the processing of expenses, deficits, and loan extensions of real estate family corporations (vehicles, legal cards, family personnel expenses, etc.)
05.
Tax issues when donating a building (VAT, land rent, building valuation)

The concept of family corporations, once a secret practice among the wealthy, is now being widely exposed on YouTube and blogs, leading many to wonder how it is used, what the basis is, what the problems are, how much benefit it provides, and whether they can also utilize it.
We wanted to explain the concept of a family corporation to wealthy individuals concerned about asset succession in preparation for inheritance tax and to high-income earners who want to use a corporation for investment, and to easily convey utilization methods and precautions.

Part 2.
"How to Establish a Family Corporation and Things to Note When Establishing" contains practical information that those considering establishing a family corporation are curious about during the execution stage, such as the composition of shareholders, which is the most important factor in planning a family corporation, how minor shareholders can participate, and the type of corporation to choose.

Part 3.
In "Family Corporation Headquarters Location and Acquisition Tax Issues," we have compiled, through a press release, issues regarding corporate headquarters directly related to real estate acquisition tax and taxation cases that the tax office took issue with when locations outside the metropolitan area's over-congestion control zone were used as an expedient measure.


Part 4.
In "Tax Laws and Precautions Related to Family Corporations," the core content of tax laws related to family corporations, including the content of specific corporations under the Inheritance and Gift Act, is explained in a way that readers can easily understand, along with legal provisions, examples, and case law introductions.

Part 5.
In "Tax Saving Methods Using Real Estate Family Corporations," we introduce how to practically utilize family corporations, which readers are most curious about.

Part6.
"Construction and Operation of Real Estate Using a Family Corporation" explains tax-saving techniques and tax precautions for constructing real estate using a family corporation from the investor's perspective.

Part7.
In "Tax-saving methods for operating family corporations and tax audit issues," we introduce practical issues and precautions that tax authorities may take issue with.

[Topic Summary]

Asset inheritance using a real estate family corporation and tax-saving investment methods for high-income earners

Q1.
What is it about?
· Precautions when establishing a family corporation
· Acquisition tax issues and collection cases based on the location of the head office of a family corporation
· Introduction to the main contents and basis of tax laws related to family corporations, and tax law amendments
· Real-world examples of real estate family corporations and new construction investment techniques
· Tips for operating a family corporation and tax audit issues

Q2.
Who should read it?
· Wealthy individuals considering inheriting a building to avoid inheritance tax
· High-income earners with high personal income
· Those who wish to invest in corporate real estate for tax-saving purposes
· Those who are concerned about transferring wealth to their children
· Those who are curious about the tax legal basis of family corporations and issues with tax authorities