Actor Yoo Yeon-seok, who received a tax claim notification amounting to 7 billion won, reduced the amount by more than half.
Yoo Yeon-seok's agency, King Kong by Starship, released a statement on the 10th, saying, "As a result of active clarification through a proper procedure, the tax amount was recalculated after the acknowledgment of double taxation through a pre-assessment review," adding, "Excluding already paid corporate tax and value-added tax, the actual tax amount paid by actor Yoo Yeon-seok is around 3 billion won, and he has completed the full payment."
The National Tax Service recently determined through a tax investigation that Yoo Yeon-seok established a corporation, 'Forever Entertainment,' and evaded taxes. It then notified him of a tax claim amounting to 7 billion won. In response, Yoo Yeon-seok filed an objection for a pre-assessment review. This is a procedure initiated when a taxpayer disagrees with actions taken by tax authorities.
Previously, Yoo Yeon-seok's agency explained on the 14th of last month that the income tax assessment resulting from this tax investigation stems from "differences in interpretation and application of the tax law between tax representatives and tax authorities."
The agency explained, "The tax authorities interpreted the income over the past five years of the corporation, which Yoo Yeon-seok operated for ancillary business and food service purposes, as subject to income tax rather than corporate tax." It added, "(The income tax assessment) is not a matter that has been finally confirmed and notified, and we plan to actively clarify the issues related to legal interpretation and application through proper procedures."