Korean actor Cha Eun-woo pays $8.77-M in back taxes
Korean actor and K-pop idol Cha Eun-woo paid 13 billion won (about $8.77 million) in back taxes.
This was lower than the 20 billion won (about $13.5 million) tax bill that Korean media reported or a difference of $4.7 million.
"We were informed by an accountant that while a portion of the payment is scheduled to be adjusted according to the National Tax Service's refund procedures, the actual burden will be around 13 billion won,” said Fantagio, the star’s agency, Korean media reported.
The agency said a refund is in process due to the double taxation imposed on corporate tax and value-added tax.
"This is a procedure to receive a refund for the double-taxed portion of the corporate tax and value-added tax previously paid, now that personal income tax has been fully paid,” it said.
Cha Eun-woo has been a popular advertising model and endorser of brands, including luxury labels.
The star, who is fulfilling his military service, was reported to have a tax surcharge last January due to a corporation established by his mother.
On April 8, Cha Eun-woo revealed on Instagram that he had already paid the back taxes.
“I sincerely apologize for causing disappointment and confusion to many people, including my fans, due to the recent tax controversy involving me. I apologize once again for the delay in speaking out, as I had no choice but to be cautious while various administrative procedures were underway. Although it is late, I would like to express my thoughts and position directly once again,” he said.
He added, “I respect the procedures and results of the National Tax Service, and to prevent further confusion, I have paid all relevant taxes. I will faithfully participate in the remaining procedures as well. As I have been active amidst the love and support of many, I am taking this matter with even greater gravity and depth.”
“If there were any aspects I failed to review sufficiently, the responsibility lies entirely with me. I will not evade responsibility for any reason by claiming I ‘didn't know’ or that it was ‘someone else's judgment. I established a corporation to ensure the stability of my activities during a time of various changes and confusion. However, looking back now, there were aspects I failed to oversee sufficiently during that process, and I believe the responsibility lies with me, not with my family or the company,” he said.
He said, “Through this incident, I have keenly felt the need to reflect on myself. Above all, I am most heartbroken and apologetic that I have disappointed my fans, the AROHA, who have trusted me. To ensure that the same problem does not recur, I will review all aspects of my future activities with greater caution and stricter standards. I will strive even harder to become a Cha Eun-woo who takes full responsibility for my choices and actions to the very end. I once again offer my deepest apologies.”