Ji Chang Wook Addresses Reports Alleging He Was Ordered To Pay Tens Of Billions Of Won In Additional Taxes Following Tax Audit
Actor Ji Chang Wook has addressed reports that he was hit with tens of billions of won in additional taxes, stating that there was no intentional tax evasion.
On June 2, Ji Chang Wook’s agency released an official statement saying, “We sincerely apologize for causing concern to many people regarding this matter. However, we would like to clearly state that there was absolutely no intentional omission of income or tax evasion through improper methods.”
Earlier, a media outlet reported that Ji Chang Wook underwent an intensive tax audit conducted by the Seoul Regional Tax Office’s Investigation Bureau 2 in March and was subsequently ordered to pay additional taxes amounting to tens of billions of won.
According to the report, tax authorities allegedly identified circumstances involving tax underpayment or expenses that may have been handled improperly during the audit. While those expenses had reportedly been declared as legitimate business costs related to the actor’s entertainment activities, tax authorities reportedly determined that some could be considered personal expenditures or expenses whose tax treatment was unclear under existing regulations.
In response, the agency emphasized that there was no deliberate wrongdoing.
The company explained, “During the recent tax audit, we transparently submitted all relevant materials and fully cooperated with the investigation. However, we confirmed that there was a difference in interpretation and application of tax laws between the company and tax authorities regarding whether income generated through the actor’s entertainment activities should be attributed to the individual or to the corporation under the principle of substance over form.”
The statement continued, “Despite this difference in interpretation, Ji Chang Wook has prioritized fulfilling his tax obligations faithfully and has complied thoroughly with all relevant laws and procedures since his debut in 2008 without any tax-related issues. Therefore, we respect the results of the National Tax Service’s investigation and plan to pay the assessed additional taxes promptly in accordance with the proper procedures.”
The agency added, “We will more carefully review our tax and accounting management systems to prevent similar issues from occurring in the future, and we will continue to faithfully fulfill our tax obligations while complying with the law and established principles.”
Source: (A)
