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China - South Korea tax treaty

A practical treaty page built around the official treaty text, key withholding categories, permanent-establishment rules, and article-level summaries.

Signed

1994-03-28

Effective

1994-09-28

Articles seeded

6

Withholding snapshot

Dividends

Individual rate: 10% · Corporate rate: 5%

The lower 5 percent corporate rate generally depends on a direct-ownership threshold of 25 percent under the treaty.

Interest

Rate: 10%

The 10 percent ceiling can be reduced for qualifying government and central-bank interest.

Royalties

Rate: 10%

Royalties generally face a 10 percent ceiling under the treaty.

Permanent establishment

Construction threshold: more than 6 months

Dependent-agent analysis under the 1994 treaty wording includes specified habitual-conclusion rules.

Other treaty flags

Pensions: residence
Protocols: None seeded
Exchange of information: Yes
Student article: Yes
Teacher article: Yes

Pension treatment is article-specific.

Seeded article summaries

Article 4

Residence

Defines treaty residence under the 1994 wording.

Article 4 reflects the 1994 wording. Residence analysis interacts with China's developing Place-of-Effective-Management rules.

Article 5

Permanent Establishment

Sets the business-presence threshold including service-PE provisions.

The treaty includes both construction and service-PE rules.

Article 7

Business Profits

Generally reserves business profits to the residence state in the absence of a PE.

Article 7 is the operating rule for cross-border services.

Article 10

Dividends

Caps source-country dividend withholding at treaty ceilings.

Article 10 produces the 10 percent and 5 percent treaty ceilings.

Article 11

Interest

Limits source-country withholding on qualifying interest to a 10 percent ceiling.

Article 11 produces a 10 percent ceiling with carve-outs for qualifying government and central-bank interest.

Article 12

Royalties

Caps royalties at a 10 percent ceiling.

Article 12 limits royalties at 10 percent across the core categories.

Official text

Other treaties involving these jurisdictions

Computed from the cross-reference graph. Links open the related entity on this site.

Primary sources

Important disclaimer

This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.