If I receive a wedding shoot deposit months in advance, when should I recognize revenue?
Revenue is recognized based on when the service is completed — that is, when the shoot and album delivery are finished — as a general rule, and if you received a deposit early but the actual shoot falls in the next tax period, make sure the tax invoice issuance timing is organized in advance so it does not conflict. Amounts paid to second-shooters/assistants are mostly business income subject to 3.3% withholding, and incidental goods sales like albums and frames should also be included in the tax base when filing.
The most confusing part — deposits and revenue recognition timing
The shoot date and the payment date often fall apart, a structure unique to wedding photography that needs sorting out in advance
The deposit arrives now, but the shoot may be next quarter
Wedding shoots commonly involve receiving a deposit months before the ceremony, with the actual shoot and album delivery happening later. If a tax invoice was issued at the time the deposit was received, confirm in advance that the actual revenue recognition timing and the filing period do not conflict.
The principle is based on the completion of the service
VAT treats the point when a service is fully provided as the time of supply. The service is considered complete once shooting, editing, and album delivery are all finished; if a deposit and interim payment are received separately, each amount's due date may also count as a point of supply, so it is safer to organize your tax invoice issuance timing in advance.
Tax structure characteristics of the wedding & studio business
Key expense categories
Must-read for wedding & studio photographers
Sort studio equipment by category to save on taxes
From cameras/lenses to second-shooter labor costs, sorting each item correctly reduces unnecessary tax
Long-term fixed assets — depreciable equipment
Camera bodies: full-frame mirrorless/DSLR (main plus backup, rotated in use)
Lenses: large-aperture standard zoom (24-70mm), telephoto zoom (70-200mm), primes (35/50/85mm)
Lighting: strobe/continuous lighting, softboxes, light stands
Studio setup: backdrop/backdrop system, shoot set props
Anything over 1,000,000 KRW per unit is classified as a depreciable asset and must be expensed gradually over its useful life.
Consumables/rentals — expensed immediately
Consumables: spare batteries, memory cards, shoot props/accessories, lighting diffusers/gels
Rentals: outdoor location lighting generators, specialty backdrop sets, short-term rental of ultra-wide/macro lenses
Consumable spending and usage fees that are not assets are expensed in full at the time of purchase or payment. If the rental company issues a tax invoice, you can also claim the input VAT credit.
Personal service costs — freelance withholding
Amounts paid per contract to second-shooters/assistants, hair and makeup artists, stylists, and album designers are business income subject to 3.3% withholding, filed and paid by the 10th of the following month.
Post-production/subscriptions
Retouching software subscriptions like Photoshop/Lightroom and NAS/cloud storage costs for backing up raw files are recurring monthly expenses and are expensed in full at the time of payment.
| Category | Examples | Tax treatment |
|---|---|---|
| Long-term fixed assets | Camera bodies, lenses, lighting, studio setup | Depreciated if over 1,000,000 KRW |
| Consumables/rentals | Batteries/memory cards, generator, specialty lens rental | Expensed in full immediately |
| Personal services | Second-shooters, hair/makeup, stylists, album designers | 3.3% withholding, filed by the 10th of the following month |
| Post-production/subscriptions | Photoshop/Lightroom, NAS/cloud backup | Expensed immediately |