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Income tax expense | 12 Months Ended
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Dec. 31, 2025
Major components of tax expense (income) [abstract] |
Income tax expense |
46. | Income tax expense
| (a) | Income tax expense for the years ended December 31, 2023, 2024 and 2025 are as follows:
|  | 2023 |  |  | 2024 |  |  | 2025 |
Current income tax expense |  | W | 1,301,802 |  |  |  | 1,210,083 |  |  |  | 1,572,116 |
Temporary differences |  |  | 493,026 |  |  |  | (163,840 | ) |  |  | 17,638 |
Income tax recognized in other comprehensive income |  |  | (307,868 | ) |  |  | 424,679 |  |  |  | 254,736 |
Income tax expenses |  | W | 1,486,960 |  |  |  | 1,470,922 |  |  |  | 1,844,490 |
| (b) | Income tax expense calculated by multiplying net income before tax with the tax rate for the years ended December 31, 2023, 2024 and 2025 are as follows:
|  | 2023 |  |  | 2024 |  |  | 2025 |
Profit before income taxes |  | W | 5,964,960 |  |  |  | 6,029,092 |  |  |  | 6,929,009 |
Income taxes at statutory tax rates |  |  | 1,564,388 |  |  |  | 1,581,318 |  |  |  | 1,818,897 |
Adjustments: |  |  |  |  |  |  |  |  |  |  |  |
Non-taxable income |  |  | (10,350 | ) |  |  | (44,370 | ) |  |  | (20,796 | )
Non-deductible expense |  |  | 16,514 |  |  |  | 19,755 |  |  |  | 23,909 |
Tax credit |  |  | (1,185 | ) |  |  | (1,484 | ) |  |  | (1,318 | )
Others |  |  | (82,407 | ) |  |  | (84,297 | ) |  |  | 23,798 |
Income tax expense |  | W | 1,486,960 |  |  |  | 1,470,922 |  |  |  | 1,844,490 |
Effective tax rate |  |  | 24.93 | % |  |  | 24.40 |  |  |  | 26.62 |
| (c) | Deferred tax expenses by origination and reversal of deferred assets and liabilities and temporary differences for the years ended December 31, 2024 and 2025 are as follows:
|  | 2024 |
|  | Beginning Balance |  |  | Profit or loss |  |  | Other comprehensive income (loss) |  |  | Ending Balance (*1) |
Unearned income |  | W | (432,276 | ) |  |  | 2,101 |  |  |  | — |  |  |  | (430,175 | )
Account receivable |  |  | (21,354 | ) |  |  | (15,052 | ) |  |  | — |  |  |  | (36,406 | )
Financial assets measured at fair value |  |  | 454,253 |  |  |  | (408,640 | ) |  |  | (425,218 | ) |  |  | (379,605 | )
Investment in associates |  |  | 188,268 |  |  |  | 8,543 |  |  |  | (2,396 | ) |  |  | 194,415 |
Valuation and depreciation of property and equipment etc. |  |  | (104,078 | ) |  |  | 147 |  |  |  | — |  |  |  | (103,931 | )
Derivative asset |  |  | 152,388 |  |  |  | (79,962 | ) |  |  | (21,242 | ) |  |  | 51,184 |
Deposits |  |  | 33,553 |  |  |  | (6,274 | ) |  |  | — |  |  |  | 27,279 |
Accrued expenses |  |  | 221,458 |  |  |  | 64,571 |  |  |  | — |  |  |  | 286,029 |
Defined benefit obligation |  |  | 544,667 |  |  |  | (17,567 | ) |  |  | 19,995 |  |  |  | 547,095 |
Plan assets |  |  | (617,983 | ) |  |  | 32,565 |  |  |  | 1,710 |  |  |  | (583,708 | )
Other provisions |  |  | 510,604 |  |  |  | (15,187 | ) |  |  | — |  |  |  | 495,417 |
Allowance for acceptances and guarantees |  |  | 22,017 |  |  |  | 13,467 |  |  |  | — |  |  |  | 35,484 |
Allowance related to asset revaluation |  |  | (47,709 | ) |  |  | — |  |  |  | — |  |  |  | (47,709 | )
Allowance for expensing depreciation |  |  | (140 | ) |  |  | 61 |  |  |  | — |  |  |  | (79 | )
Accrued contributions |  |  | 37,669 |  |  |  | 19,935 |  |  |  | — |  |  |  | 57,604 |
Financial assets (liabilities) designated at fair value through profit or loss |  |  | (232,597 | ) |  |  | 119,658 |  |  |  | — |  |  |  | (112,939 | )
Allowances |  |  | 224,066 |  |  |  | 50,152 |  |  |  | — |  |  |  | 274,218 |
Constructive dividend |  |  | 17,718 |  |  |  | 857 |  |  |  | — |  |  |  | 18,575 |
Liability under insurance contracts |  |  | 11,445 |  |  |  | (1,089 | ) |  |  | — |  |  |  | 10,356 |
Others |  |  | (1,551,513 | ) |  |  | (2,239 | ) |  |  | 851,830 |  |  |  | (701,922 | )
|  |  | (589,544 | ) |  |  | (233,953 | ) |  |  | 424,679 |  |  |  | (398,818 | )
Expired unused tax losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Extinguishment of deposit and insurance liabilities |  |  | 200,668 |  |  |  | (20,165 | ) |  |  | — |  |  |  | 180,503 |
|  | W | (388,876 | ) |  |  | (254,118 | ) |  |  | 424,679 |  |  |  | (218,315 | )
| (*1) | Deferred tax assets from overseas subsidiaries are increased by W 6,721 million due to foreign exchange rate movements.
| (*2) | The Group does not recognize deferred tax assets and liabilities related to global minimum tax laws by applying the temporary exception provision for deferred tax in IAS 12.
|  | 2025 |
|  | Beginning Balance |  |  | Profit or loss |  |  | Other comprehensive income (loss) |  |  | Ending Balance (*) |
Unearned income |  | W | (430,175 | ) |  |  | (23,729 | ) |  |  | — |  |  |  | (453,904 | )
Account receivable |  |  | (36,406 | ) |  |  | (5,060 | ) |  |  | — |  |  |  | (41,466 | )
Financial assets measured at fair value |  |  | (379,605 | ) |  |  | 76,414 |  |  |  | 585,988 |  |  |  | 282,797 |
Investment in associates |  |  | 194,415 |  |  |  | (18,848 | ) |  |  | 6,229 |  |  |  | 181,796 |
Valuation and depreciation of property and equipment, etc. |  |  | (103,931 | ) |  |  | (959 | ) |  |  | — |  |  |  | (104,890 | )
Derivative asset |  |  | 51,184 |  |  |  | (70,745 | ) |  |  | 82,890 |  |  |  | 63,329 |
Deposits |  |  | 27,279 |  |  |  | 9,677 |  |  |  | — |  |  |  | 36,956 |
Accrued expenses |  |  | 286,029 |  |  |  | 40,172 |  |  |  | — |  |  |  | 326,201 |
Defined benefit obligation |  |  | 547,095 |  |  |  | 35,686 |  |  |  | (8,532 | ) |  |  | 574,249 |
Plan assets |  |  | (583,708 | ) |  |  | (76,062 | ) |  |  | 13,930 |  |  |  | (645,840 | )
Other provisions |  |  | 495,417 |  |  |  | 12,464 |  |  |  | — |  |  |  | 507,881 |
Allowance for acceptance and guarantees |  |  | 35,484 |  |  |  | 12,713 |  |  |  | — |  |  |  | 48,197 |
Allowance related to asset revaluation |  |  | (47,709 | ) |  |  | (1,999 | ) |  |  | — |  |  |  | (49,708 | )
Allowance for expensing depreciation |  |  | (79 | ) |  |  | 61 |  |  |  | — |  |  |  | (18 | )
Accrued contributions |  |  | 57,604 |  |  |  | (1,561 | ) |  |  | — |  |  |  | 56,043 |
Financial assets (liabilities) designated at fair value through profit or loss |  |  | (112,939 | ) |  |  | (14,065 | ) |  |  | — |  |  |  | (127,004 | )
Allowances |  |  | 274,218 |  |  |  | (49,538 | ) |  |  | — |  |  |  | 224,680 |
Constructive dividend |  |  | 18,575 |  |  |  | 848 |  |  |  | — |  |  |  | 19,423 |
Liability under insurance contracts |  |  | 10,356 |  |  |  | (1,510 | ) |  |  | — |  |  |  | 8,846 |
Others |  |  | (701,922 | ) |  |  | (175,446 | ) |  |  | (425,769 | ) |  |  | (1,303,137 | )
|  |  | (398,818 | ) |  |  | (251,487 | ) |  |  | 254,736 |  |  |  | (395,569 | )
Expired unused tax losses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Extinguishment of deposit and insurance liabilities |  |  | 180,503 |  |  |  | (22,015 | ) |  |  | — |  |  |  | 158,488 |
|  | W | (218,315 | ) |  |  | (273,502 | ) |  |  | 254,736 |  |  |  | (237,081 | )
| (*) | Deferred tax assets from overseas subsidiaries are increased by W 1,128 million due to foreign exchange rate movements.
| (d) | Deferred tax assets and liabilities that are directly charged or credited to equity for the years ended December 31, 2024 and 2025 are as follows:
|  | January 1, 2024 |  |  | Changes |  |  | December 31, 2024 |
|  | OCI |  |  | Tax effect |  |  | OCI |  |  | Tax effect |  |  | OCI |  |  | Tax effect |
Gain (loss) on valuation of financial assets measured at FVOCI |  | W | (4,727,044) |  |  |  | 1,223,503 |  |  |  | 1,614,241 |  |  |  | (425,218 | ) |  |  | (3,112,803 | ) |  |  | 798,285 |
Gain (loss) on financial liabilities designated at FVTPL attributable to changes in credit risk |  |  | (5,278 | ) |  |  | 1,393 |  |  |  | (2,288 | ) |  |  | 604 |  |  |  | (7,566 | ) |  |  | 1,997 |
Foreign currency translation adjustments for foreign operations |  |  | (105,343 | ) |  |  | (13,174 | ) |  |  | 401,576 |  |  |  | 13,431 |  |  |  | 296,233 |  |  |  | 257 |
Gain (loss) on cash flow hedges |  |  | (48,623 | ) |  |  | 13,515 |  |  |  | 59,756 |  |  |  | (21,242 | ) |  |  | 11,133 |  |  |  | (7,727 | )
Equity in other comprehensive income (loss) of associates |  |  | (1,321 | ) |  |  | 352 |  |  |  | 9,067 |  |  |  | (2,396 | ) |  |  | 7,746 |  |  |  | (2,044 | )
Remeasurements of the defined benefit liability |  |  | (398,538 | ) |  |  | 106,209 |  |  |  | (83,464 | ) |  |  | 21,705 |  |  |  | (482,002 | ) |  |  | 127,914 |
Net finance income (expense) on insurance contract |  |  | 3,912,910 |  |  |  | (1,033,014 | ) |  |  | (3,173,553 | ) |  |  | 837,795 |  |  |  | 739,357 |  |  |  | (195,219 | )
|  | W | (1,373,237) |  |  |  | 298,784 |  |  |  | (1,174,665 | ) |  |  | 424,679 |  |  |  | (2,547,902 | ) |  |  | 723,463 |
|  | January 1, 2025 |  |  | Changes |  |  | December 31, 2025 |
|  | OCI |  |  | Tax effect |  |  | OCI |  |  | Tax effect |  |  | OCI |  |  | Tax effect |
Gain (loss) on valuation of financial assets measured at FVOCI |  | W | (3,112,803) |  |  |  | 798,285 |  |  |  | (2,024,457 | ) |  |  | 585,987 |  |  |  | (5,137,260 | ) |  |  | 1,384,272 |
Gain (loss) on financial liabilities designated at FVTPL attributable to changes in credit risk |  |  | (7,566 | ) |  |  | 1,997 |  |  |  | 1,403 |  |  |  | (301 | ) |  |  | (6,163 | ) |  |  | 1,696 |
Foreign currency translation adjustments for foreign operations |  |  | 296,233 |  |  |  | 257 |  |  |  | (140,164 | ) |  |  | (3,785 | ) |  |  | 156,069 |  |  |  | (3,528 | )
Gain (loss) on cash flow hedges |  |  | 11,133 |  |  |  | (7,727 | ) |  |  | (255,994 | ) |  |  | 82,890 |  |  |  | (244,861 | ) |  |  | 75,163 |
Equity in other comprehensive income (loss) of associates |  |  | 7,746 |  |  |  | (2,044 | ) |  |  | (22,965 | ) |  |  | 6,228 |  |  |  | (15,219 | ) |  |  | 4,184 |
Remeasurements of the defined benefit liability |  |  | (482,002 | ) |  |  | 127,914 |  |  |  | 183 |  |  |  | 5,398 |  |  |  | (481,819 | ) |  |  | 133,312 |
Net finance income (expense) on insurance contract |  |  | 739,357 |  |  |  | (195,219 | ) |  |  | 1,536,884 |  |  |  | (421,681 | ) |  |  | 2,276,241 |  |  |  | (616,900 | )
|  | W | (2,547,902) |  |  |  | 723,463 |  |  |  | (905,110 | ) |  |  | 254,736 |  |  |  | (3,453,012 | ) |  |  | 978,199 |
| (e) | The amount of deductible temporary differences that are not recognized as deferred tax assets as of December 31, 2024 and 2025 are as follows:
|  | 2024 |  |  | 2025 |
Temporary differences related to Shinhan EZ General Insurance Co., Ltd. (*1) |  | W | 109,731 |  |  |  | 135,608 |
| (*1) | Shinhan EZ General Insurance Co., Ltd., a subsidiary of the Group, suffered a net loss for the current period, etc. As of the end of December 31, 2025, deferred corporate tax assets were not recognized as it was determined that the temporary difference to be deducted in excess of the temporary difference to be added and the tax loss were not feasible.
| (*2) | The expiration date of unused carried tax losses not recognized as deferred tax assets as of the end of the reporting period is as follows:
|  | 1 year or less |  |  | 1~2 years |  |  | 2~3 years |  |  | More than 3 years |  |  | Total |
Tax loss carried-forward |  | W | 7,444 |  |  |  | 9,253 |  |  |  | 12,361 |  |  |  | 98,817 |  |  |  | 127,875 |
| (f) | The amount of temporary difference regarding investment in subsidiaries that are not recognized as deferred tax liabilities as of December 31, 2024 and 2025 are as follows:
|  | 2024 |  |  | 2025 |
Investment in subsidiaries, etc. |  | W | (10,203,270) |  |  |  | (10,643,726 | )
| (g) | The Group set off a deferred tax asset against a deferred tax liability of the same taxable entity if, and only if, they relate to income taxes levied by the same taxation authority and the entity has a legally enforceable right to set off current tax assets against current tax liabilities. Deferred tax assets and liabilities presented on a gross basis prior to any offsetting as of December 31, 2024 and 2025 are as follows:
|  | 2024 |  |  | 2025 |
Deferred tax assets |  | W | 1,375,325 |  |  |  | 1,266,026 |
Deferred tax liabilities |  |  | 1,593,640 |  |  |  | 1,503,107 |
| (h) | The Group is required, under the implementation of the Global Minimum Corporate Tax Act, to pay additional taxes on the difference where the effective tax rate of each constituent entity, by jurisdiction in which it is located, falls below 15%. The Group has assessed the impact of the Global Minimum Corporate Tax Act in accordance with the relevant legislation and determined that most constituent entities either meet the transitional safe harbor provisions or have effective tax rates exceeding 15%, and therefore no significant additional tax liability is expected to arise in respect of those entities. However, additional tax has arisen in relation to a constituent entity located in Mexico as a result of the application of the Global Minimum Corporate Tax Act, and accordingly, the current income tax expense for the period ended December 31, 2025 includes current income tax expense of W 936 million related thereto.
Income tax expense related to the Global Minimum Corporate Tax Act is subject to estimation uncertainty due to various factors, including tax incentives granted to permanent establishments and accounting adjustments required under the legislation for the calculation of Global Minimum Tax income based on accounting profit or loss for subsequent periods. In addition, the Group has applied the temporary exception to the recognition of deferred taxes under IAS 12 and, accordingly, has not recognized deferred tax assets and liabilities related to the Global Minimum Corporate Tax Act, nor has it disclosed related information.

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