Entertainment
Hallyuwood
Yoo Yeon-seok loses appeal over $2.1 million South Korea tax assessment
Yoo Yeon-seok loses appeal over $2.1 million South Korea tax assessment
South Korean actor Yoo Yeon-seok has lost his appeal against a three billion won (about $2.1 million) tax assessment after the country's Tax Tribunal upheld the government's decision.
The ruling follows a dispute over taxes imposed by South Korea's National Tax Service (NTS) in connection with Forever Entertainment, an agency established by Yoo.
In March last year, the NTS initially notified the actor that he owed about seven billion won (approximately $4.9 million) in taxes, including income tax.
According to Korean media reports, tax authorities concluded that Forever Entertainment did not conduct sufficient business activities to support Yoo's entertainment career. Yoo is also signed with King Kong by Starship.
Yoo challenged the initial assessment through a pre-assessment review, resulting in the tax bill being reduced to three billion won after authorities determined that more than half of the original amount constituted double taxation.
The actor paid the revised amount but later filed an appeal with the Tax Tribunal, which has now been dismissed.
"This matter stems from differences in opinion regarding the interpretation and application of tax laws. Since the relevant procedures have not yet been fully completed, it is difficult to discuss specific details," King Kong by Starship said in a statement.
Korean news outlet Edaily reported that the tribunal's ruling could influence similar tax appeals involving several high-profile entertainers, including Cha Eun-woo, Lee Joon-gi and Cho Jin-woong.
Cha Eun-woo recently filed an appeal after paying about 13 billion won in taxes, according to Korean media reports.
