Establishment of an organization
Certificate of Unique Identification Number of Voluntary Organization
Tax identification registration of unincorporated entities
1. What is a Certificate of Unique Identification Number for a Voluntary Association?
A Certificate of Unique Identification Number for Voluntary Associations is an identification number assigned by the competent tax office to an organization that has not registered as a corporation, in order to be recognized as having separate legal personality for tax purposes.
This primarily applies to non-profit clubs, academic societies, clan associations, hometown associations, religious groups, and self-governing organizations; obtaining a unique identification number is required to open a bank account in the organization's name, manage donations, and process various administrative applications.
It is the most basic organization registration system that allows an entity to operate as an independent tax-related entity, even without legal personality.
2. Practical Overview and Requirements (Including Legal Basis)
1. Legal basis
- Article 13 of the Framework Act on National Taxes (Organizations Treated as Corporations)
- Article 12 of the Enforcement Decree of the Value Added Tax Act (Assignment of Unique Numbers)
- Article 2, Paragraph 3 of the Income Tax Act (Organizations not deemed as corporations)
2. Application Requirements
- A representative or manager must be appointed.
- There must be bylaws or regulations regarding the organization and operation of the group.
- Will not distribute profits to members
- The attribution relationship of independent property will be confirmed
- It must be for purely non-profit purposes and not engage in profit-making activities.
3. Duration
- Issued within 3 to 7 days after application submission (provided all documents are complete)
- For applications from approved organizations, it takes 10 to 14 days.
- An additional 1–2 weeks may occur if correction is requested.
4. Key Documents to Submit
- Application for Approval of an Organization Treated as a Corporation / Application for Assignment of Unique Number
- Copy of representative or manager's identification card
- The organization's bylaws (articles of association) or bylaws
- Minutes of the Founding General Meeting
- Confirmation of Appointment of Representative
- Membership List and Property List
3. Type
Organizations treated as corporations (Article 13, Paragraph 1 of the Basic Tax Act)
An organization established or registered with the competent authority in accordance with laws and regulations, but not registered — is automatically deemed a corporation without separate approval.
Organizations treated as corporations (Article 13, Paragraph 2 of the Basic Tax Act)
It is an organization that does not fall under the above categories, has met the requirements for appointing a representative and manager and non-distribution of profits, and has received approval from the head of the competent tax office.
Organizations that only receive a unique identification number certificate
Organizations that do not meet the requirements to be treated as a corporation but require tax identification — issued for the purpose of proving non-profit purpose.
Unique identification number certificate
Issuance procedure
Preliminary consultation and type assessment
After reviewing the organization's nature, property structure, and scope of activities, select the appropriate type between an approved organization and a general organization.
Preparation of Bylaws and General Assembly Documents
Drafting of bylaws (articles of association), holding of the inaugural general meeting and preparation of minutes, appointment of a representative
Fill out the application form and attached documents
Simultaneous completion of the organization approval application and the unique number assignment application
Filing at the competent tax office
Visit the Civil Service Center of the tax office with jurisdiction over the business location or submit via Hometax.
Receipt of Unique Identification Number Certificate
Upon approval and granting, it is possible to issue a unique identification number certificate and open an account in the organization's name.
Key Benefits
The issuance of a unique identification number is not merely the acquisition of a number,
This is the starting point for the organization to begin official activities in the fields of taxation, finance, and administration.
Securing Tax Personnel
Establishing a foundation for issuing tax invoices, cash receipts, and donation receipts under the organization's name
Financial transactions available
Opening a bank account in the organization's name, issuing cards, and setting up automatic utility bill payments
Improving administrative credibility
Official identification during external activities such as submitting applications to government offices, participating in public contests, or receiving sponsorships
Securing the foundation for corporate conversion
Used as proof of operational performance when converting to an incorporated association or foundation in the future
Why an administrative agent is required to issue a unique identification number certificate
If you proceed without the help of an expert, you may encounter the following difficulties:.
1. Legality of the Design of the Bylaws
To meet the requirements for an organization treated as a corporation, provisions regarding non-distribution of profits, the scope of authority of the representative, and the composition of the general meeting must precisely comply with the requirements of the Basic Tax Act on National Taxes.
2. Avoiding the risk of tax office rejection
Applications are frequently rejected due to errors in completion or deficiencies in the bylaws, and it takes several weeks to resubmit a rejected application.
3. Determination of Group Type
Since tax treatment varies depending on whether you proceed as an approved organization or a general organization, expert consultation is required.
4. Preparation for future conversion to a corporation
When converting an informal association into an incorporated association or foundation, maintaining a consistent initial documentation structure saves time and costs.
The Unique Identification Number Certificate is not merely a document issuance, but the organization's first official identification card.
A single line of the bylaws and a single page of the general meeting minutes serve as decisive evidence when converting to a corporation a few years later.
Your organization, starting from a small gathering, becomes an organization that creates social value
We will design a proper plan for your growth from the very beginning.
Seum Administrative Attorney Firm
Written by: Sangyoon Kim, Administrative Scrivener
