South Korea RIA Accounts Hit 313,594 as Tax Deadline Nears

South Korea's Return to Domestic Market Investment Accounts reached 313,594 as of the end of last month, according to the Financial Supervisory Service on July 26. The account total represents a 3.8-fold increase from 83,035 accounts at the end of March. The RIA program offers tax deductions to investors who sell overseas stocks and reinvest in domestic Korean stocks, with deduction rates varying based on transaction timing. Financial authorities established the program to encourage Korean retail investors to redirect capital from foreign markets back to domestic equities.

RIA Accounts Surge 3.8-Fold in Three Months

Account balances grew from 414 billion won at the end of March to 2.656 trillion won at the end of last month, representing a 6.4-fold increase in three months. The Financial Supervisory Service released these figures on July 26.

The RIA program launched on March 23, 2026. Eligible stocks include overseas stocks held before December 23, 2025 and sold within 2026.

Tax Deduction Rates Decline After July 31 Deadline

Investors who completed overseas stock sale orders and settlement by the end of May receive a 100% capital gains tax deduction. Those completing the process between June 1 and July 31 receive an 80% deduction. Starting August 1, the deduction rate drops to 50%.

The tax benefit applies only to overseas stocks held before December 23, 2025 and sold within 2026.

Financial Supervisory Service Issues Settlement Timeline Guidance

Financial authorities stated that investors must complete overseas stock sale orders within RIA accounts by July 31 to receive the 80% tax deduction. Overseas stock settlements occur 1 to 3 business days after sale order execution.

Investors should verify individual brokerage firm schedules and complete sale orders between July 27 and 30 to ensure settlement by July 31. The Financial Supervisory Service issued this guidance on July 26.

FAQ

What is the current number of RIA accounts in South Korea? As of the end of last month, 313,594 RIA accounts have been opened in South Korea, according to the Financial Supervisory Service on July 26.

What tax deduction rate applies to overseas stock sales completed in July 2026? Investors who complete overseas stock sale orders and settlement between June 1 and July 31, 2026 receive an 80% capital gains tax deduction. The rate drops to 50% starting August 1.