Entertainment Agency And Several Public Figures Under Investigation For Tax Evasion

Korea’s National Tax Service is investigating 93 people under suspicion of offshore tax evasion.

Included in the 93 people are celebrities and various other public figures. The National Tax Service held a briefing on September 12 and announced that investigations are officially underway.

Also included is a Korean entertainment agency. This company had 7 billion won (approximately $6.2 million) of their artists’ overseas earnings from concerts and performances transferred through a Hong Kong paper company rather than sending it directly into Korea. According to the National Tax Service, with the addition of penalty fees, this agency has been charged a total of 9 billion won (approximately $8 million).

The investigations show that offshore tax evasion has recently gone beyond the simple method of establishing a paper company in tax havens and pocketing money. More advanced techniques are being used with stocks and derivatives or artificial losses.

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