The sports facilities usage fees are eligible for tax deductions… Effective from July 1

Starting July 1, tax deductions for gym and swimming pool usage fees will be implemented.

The Ministry of Culture, Sports and Tourism announced that it will provide tax deduction benefits for usage fees at over 1,000 gyms and swimming pools nationwide in collaboration with the Korea Culture Information Service.

Until now, tax deductions for cultural expenses were primarily limited to the cultural and arts sectors, such as books, performances, museums, art galleries, newspapers, and films. However, for the first time, the scope of deductible expenses has been expanded to include the sports sector.

In particular, gyms and swimming pools, which are the most utilized sports facilities by the public, have been selected as eligible for tax deductions.

Employees with a total salary of up to 70 million KRW can receive tax deduction benefits of 30% on the usage fees of these facilities, up to a maximum limit of 3 million KRW. This is part of a policy aimed at reducing the economic burden on citizens regarding exercise.

Eligibility criteria for tax deductions and how to check participating facilities

The eligibility for tax deduction varies by the type of facility usage fees.

For daily and monthly entrance fees, the entire amount is recognized as a facility usage fee. However, in cases where the facility usage fee cannot be separated from additional costs, such as personal training sessions or swimming lessons, only 50% of the total amount can be acknowledged as the facility usage fee.

Exercise equipment or beverages purchased within the facility are excluded from the eligible expenses for tax deductions.

The Ministry of Culture and the Korea Culture Information Service have been recruiting businesses that wish to participate in the program since January of this year, and as of the end of June, over 1,000 gyms and swimming pools nationwide have completed registration.

The government plans to continue promoting this initiative through public and online media to expand the number of participating institutions.

The list of facilities currently eligible for tax deductions can be checked on the 'Cultural Expense Tax Deduction website (culture.go.kr/deduction),' and new facilities can also register on the same site.

The government anticipates that this tax deduction system will activate public physical activities, promoting health and invigorating the sports industry.

For more detailed information about the cultural expense tax deduction system and how to apply for participation, you can check the cultural expense tax deduction website or contact the customer center (1688-0700).

Image source: Reference photo for understanding the article / gettyimagesbank