Ji Chang Wook’s agency has released an official statement after reports claimed the actor was charged tens of billions of won in additional taxes.
On June 2, Spring Company addressed the matter and apologized for the concern caused by the news.
The agency stated, “We deeply apologize for causing concern to many people because of this matter.” However, it firmly denied intentional wrongdoing, saying, “There was no intentional omission of income or tax evasion through illegal methods.”
According to the agency, the issue came from a difference in how tax law was interpreted and applied. Spring Company explained that there was a disagreement with tax authorities over whether income from Ji Chang Wook’s entertainment activities should be counted as personal income or corporate income under the principle of substance over form taxation.
The agency also emphasized that Ji Chang Wook has followed tax rules since his debut in 2008. It said he has complied with related laws and procedures and has made faithful tax payment a priority.
Spring Company added that it respects the result of the National Tax Service investigation and will pay the imposed additional taxes according to the proper process. The agency stated that the payment will be made without delay.
The agency also promised to strengthen its system, saying, “To prevent a similar matter from happening again, we will review our tax and accounting management system more carefully.”
Earlier, reports said the Seoul Regional Tax Office’s Investigation Bureau 2 conducted a non regular tax investigation into Ji Chang Wook in March and charged him tens of billions of won in additional taxes during the review process.
Recently, several Korean stars who operate one person agencies have also been reported to have undergone tax reviews or been charged additional taxes, including Lee Min Ki, Lee Yi Kyung, Cha Eun Woo, Kim Seon Ho, Lee Ha Nee, and Yoo Yeon Seok.
Source (1)
