The Korean Foreign Exchange Transaction Law governs the establishment of branch or liaison offices within the country. Similar to branch offices, liaison offices are considered foreign corporations, but their activities are limited to non-sales functions such as research and development, business development, market analysis, and promotional efforts conducted on behalf of the foreign company. Excluded from taxable criteria, liaison offices are not authorized to engage in profit-generating operations. Their non-income generating activities include research, advertising, publicity, and other public relations functions exclusively for their head office. Korea imposes no taxes on liaison offices, except for obligations related to payroll and value-added tax reporting.