Directly purchased products are tax exempt upon the premise that they will be used by the buyers themselves. (Image: Korea Bizwire)
SEOUL, Nov. 12 (Korea Bizwire) — The Korean Customs Service (KCS) has launched a crackdown on illegal imports and the resale of imported products until November 28 as transactions via foreign direct purchasing are expected to jump due to China’s annual Singles Day.
The KCS will be focusing on the act of reselling products acquired via foreign direct purchasing in South Korea.
Directly purchased products are tax exempt upon the premise that they will be used by the buyers themselves. Those who re-sell these products can be punished for tax evasion.
Reselling products that have not been authorized for import, selling counterfeit goods that violate intellectual property rights and selling products with false certificates of origin are also on the KCS checklist.
The KCS will cooperate with major online stores in South Korea, including the 11 Street, to monitor illegal online transactions that are conducted during late hours or on the weekend.
A KCS source emphasized that “reselling directly purchased goods bought at a cheaper price during special sales can be punished as an act of smuggling.”
H. M. Kang (hmkang@koreabizwire.com)
