If I buy a camera and lens, can I expense the full amount the year I buy it?
You can expense the full amount immediately in the tax period of purchase only if the transaction is 1 million KRW or less per unit; camera bodies and lenses over 1 million KRW must be classified as depreciable assets and expensed gradually over their useful life. Studio rent is fully recognized if it is a dedicated space, but must be prorated by the floor area used for shooting if you also use it as living space, and it is also worth reviewing zero-rate VAT for overseas stock photo sales.
Income Structure Features for Photographers
Key Necessary Expense Items
Tax Advantages for Photographers
Spread Tax Burden on High-Value Equipment Through Depreciation
Registering cameras and lenses over 1 million KRW as depreciable assets and expensing them over several years keeps your tax burden stable and lower every year.
Consider Zero-Rate VAT for Overseas Stock Photo Sales
Sales revenue from overseas platforms like Shutterstock may qualify for zero-rate VAT if recognized as a foreign-currency-earning service.
Deduct Input VAT Through Business Registration
As corporate ad shoots increase, registering as a business lets you get a VAT refund on equipment and studio purchases and smooth transactions by issuing tax invoices.
The Most Common Mistake in the Field
The most common mistakes are expensing high-value equipment over 1 million KRW in full immediately instead of depreciating it, or, conversely, unnecessarily depreciating small consumables and missing the timing for expense recognition.