What is South Korea's duty-free limit for parcels?

For personal-use imports the de-minimis is USD 150 of customs (CIF) value per shipment. Up to that, no duty and no VAT. Goods originating in the USA get a higher USD 200 threshold under the KORUS FTA.

Is the USD 150 based on item price or total?

On the CIF customs value — the item price plus international freight and insurance. Splitting one order into parcels to stay under USD 150 is treated as one consignment if customs detect it.

What tax applies above USD 150?

Import duty at the item's rate plus 10% VAT on the duty-inclusive value. The tax applies to the entire value, not just the amount over USD 150.

Does the duty-free limit apply to commercial imports?

No. De-minimis is for personal, non-resale parcels. Commercial imports pay duty and VAT from the first won and need a formal import declaration.

Which items are excluded from the de-minimis?

Certain categories are always assessed regardless of value — for example alcohol, tobacco, perfume over the allowance, medicines, and health-functional foods. These need formal handling even under USD 150.

How much is VAT in Korea?

The standard VAT rate is 10%, charged on the customs value plus any import duty. Registered Korean businesses can reclaim it; private recipients cannot.

Is the USD 200 limit only for the USA?

Yes — the USD 200 de-minimis is specific to goods of US origin under the Korea–US FTA. Parcels from India use the standard USD 150 threshold.

How do I avoid a surprise bill for my recipient?

Ship DDP. ShipKorea calculates and pre-pays any duty and VAT before arrival, so the recipient gets the parcel with nothing to pay and no customs phone calls.

Do gifts get any special allowance?

Korea assesses gifts on value like any parcel; there is no large separate 'gift' exemption. Keep genuine personal gifts within the de-minimis and declare honestly.

Where can I get an exact landed cost?

Send your item list and values to WhatsApp +91 78003 20078 and we'll confirm whether you're under the threshold or quote the exact DDP duty and VAT.

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South Korea's USD 150 Duty-Free Limit & Import Tax Explained (2026): What You'll Actually Pay

South Korea lets personal parcels under USD 150 in duty-free — but the rules on valuation, the US-only USD 200 limit and the 10% VAT trip a lot of senders up. Here's the plain-English version with worked examples.

15 June 2026 8 min read

By ShipKorea.in Editorial Team·Reviewed by India–Korea logistics specialists

South Korea's USD 150 Duty-Free Limit & Import Tax Explained (2026): What You'll Actually Pay

Key takeaways

Personal-use parcels valued up to USD 150 (CIF) clear South Korea free of duty and VAT; goods from the US get USD 200 under KORUS.
Above the threshold, duty and 10% VAT apply to the whole customs value, not just the excess.
Customs value is CIF — item price plus international freight and insurance.
Under DDP, ShipKorea pre-pays any duty/VAT so the Korean recipient pays nothing on arrival.

Quick answer — the USD 150 rule in one paragraph

South Korea lets a personal-use parcel worth up to USD 150 (CIF customs value) enter free of import duty and 10% VAT. Cross that line and both duty and VAT apply to the whole value, not just the excess. Goods of US origin get a higher USD 200 limit under KORUS, but parcels from India use USD 150. Ship DDP and ShipKorea pre-pays any tax so your recipient pays nothing.

How customs value your parcel (CIF)

The threshold is measured on CIF: the item price plus international freight plus insurance. That means a USD 130 item with USD 30 of freight is USD 160 CIF and no longer duty-free. If freight isn't shown, customs may add a notional amount — always declare the real figures.

What you pay above the threshold

Above USD 150 CIF, customs charge the duty rate for the item's HS code, then 10% VAT on the duty-inclusive value. Example: a USD 250 gadget at 8% duty = USD 20 duty, then 10% VAT on USD 270 = USD 27 — about USD 47 in tax before delivery. The de-minimis does not shave off the first USD 150; the whole value is assessed.

The US-only USD 200 exception

You'll see USD 200 quoted online — that's the KORUS FTA de-minimis for goods of US origin only. It does not apply to India-origin parcels, which use the USD 150 line. Don't plan an Indian shipment around USD 200.

Items that never get the free pass

Some categories are assessed regardless of value: alcohol, tobacco, perfume beyond the 60 ml allowance, medicines, and health-functional foods (vitamins/supplements beyond personal limits). Even a USD 40 parcel of these is handled formally — see our item guides before shipping them.

Why splitting orders backfires

Sending two USD 120 parcels the same week to dodge the USD 150 limit doesn't work: customs can aggregate consignments to the same recipient and re-assess them as one, adding penalties and delay. Declare accurately and, for larger hauls, ship DDP where the maths is done for you.

DDP: how ShipKorea keeps the recipient bill at zero

For anything over the threshold we ship Delivered Duty Paid — we compute the duty and 10% VAT, pre-pay it during clearance, and quote you one landed price. The recipient never gets a customs invoice or a 'come to the office' call. For a firm number, WhatsApp us your values. Related: PCCC personal customs code, DDP vs DDU shipping, personal-use import limits.