Under a new tax law, effective from July 1, 2016, Korean entities that pay a service fee to a foreign parent corporation will need to withhold income tax on employment income received by foreign assignees in certain situations, even where the employment costs are not borne by the Korean entity. Although the details surrounding the new law are unsettled, it applies to Korean companies operating in certain industries (e.g., air transport, construction, and professional, scientific, or engineering service) and likely will apply to equity compensation awards granted to foreign assignees.