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2 clusters · 10 sources · 3 days · First seen · Last updated

South Korean corporate housing tax evasion investigation

Overview

The South Korean National Tax Service (NTS) identified widespread misuse of high-value corporate-owned properties, reporting that 42% of inspected units were being used privately by owners and their families rather than for legitimate business purposes. These properties, often referred to as ‘emperor residences’, included luxury apartments in prime Seoul locations with values exceeding 2 billion won, and in some cases, surpassing 20 billion won.

Following these findings, the NTS launched formal investigations into 50 companies, including five large conglomerates and six listed companies on the KOSPI and KOSDAQ. The suspected tax evasion amount is approximately 1.9 trillion won. The investigations target various practices, such as using corporate funds for massive renovations, providing free housing to avoid personal tax burdens, and using fake labor costs or inflated maintenance fees to funnel funds to family members. The agency intends to utilize digital forensics and account inquiries to pursue legal action against violators.

Entities

National Tax Service · Lim Kwang-hyun

Timeline

  1. 27 days ago

    [BUSINESS] 5 sources
    South Korea investigates 50 firms over 1.9 trillion won tax evasion

    South Korea's National Tax Service is investigating 50 companies, including large conglomerates, for 1.9 trillion won in suspected tax evasion involving the private use of luxury corporate housing.

  2. 29 days ago

    [BUSINESS] 8 sources
    National Tax Service finds 42% of high-value corporate houses used privately by owners

    South Korea's National Tax Service found that 42% of inspected high-value corporate houses are used privately by owners, prompting intensive tax audits into potential evasion and asset misuse.

Sources

biz.heraldcorp.com · dailymagazine.co.kr · english.hani.co.kr · hani.co.kr · jnilbo.com · kyeonggi.com · mbn.co.kr · sisajournal.com · tfmedia.co.kr · tokenpost.kr