Actors Lee Byung-hun, Kwon Sang-woo, Kim Tae-hee, and Lee Min-ho were fined hundreds of millions of won money by the National Tax Service. All of them drew a line on the suspicion of tax evasion, saying, “It was an error that occurred in the accounting process.” Among them, Kang Ho-dong’s suspicions of tax evasion and his declaration of retirement in the past were re-examined and became the subject of comparison.
Recently, Ajou Economy reported on suspicions of tax evasion of Lee Byung-hun, Kwon Sang-woo, Kim Tae-hee, and Lee Min-ho in turn. According to the media, the National Tax Service carried out irregular tax investigations on actors and agencies, and imposed fines ranging from hundreds of millions to hundreds of millions of money earned.
Unlike regular tax audits, irregular tax audits are carried out when the corporation or individual is suspected of tax evasion. Because of this, some suspicions of tax evasion arose against them.
The agency of each actor immediately began to explain. News of Lee Byung-hun’s punishment of a fine of 100 million won first came. The first news media raised suspicions that Lee Byung-hun’s fines were related to investing in real estate using individuals and corporations.
Lee Byung-hun’s agency, BH Entertainment, had denied accusations of tax evasion. “Lee Byung-hun has never had a single unpleasant thing related to tax in the past 30 years.” “The additional charge is the difference in the timing of the advertising guarantee payment, and calculating the proportion of the bonuses paid to all the employees normalized the cost of the actor himself which was treated as company expenses. It happened in stages,” he explained.
In early 2020, Kwon Sang-woo, who was later known to have been fined 1 billion won, also explained. The media reported that Kwon Sang-woo owned several supercars in the name of a corporation and used them to avoid taxes, and after a tax investigation, it was revealed that he had sold them all.
Regarding this, Kwon Sang-woo’s agency, Soo Company, refuted, saying, “There was no waiver or omission.”
Kim Tae-hee and Lee Min-ho also failed to escape the suspicion of tax evasion. Kim Tae-hee, who was charged hundreds of millions in taxes by the National Tax Service in 2021, stressed, “I paid the additional taxes faithfully. There was nothing scandalous.”
Kim Tae-hee’s side said, “At the time Kim Tae-hee’s management contract with her former agency ended, payment of the advertising model fee was postponed to be paid by the client. After the contract with “When the agency ended, the money was transferred to actress Kim Tae-hee,” he said.
Similarly, Lee Min-ho, who was fined hundreds of millions of won money, also drew a line on the suspicion of tax evasion. “The company and Lee Min-ho have been paying taxes faithfully until now, and there has never been a single unsavory incident,” he said. This is an issue that occurred due to a difference. decision due to an accounting error in the handling of corporate expenses.”
◆ Retirement announcement due to allegations of tax evasion… How was Kang Ho-dong?
The suspicion of tax evasion was also a fatal blow to celebrities in the past. However, there were also appearances different from the present, where explanations are replaced by statements of opinion.
In 2011, Kang Ho-dong was also fined hundreds of millions of won money by the National Tax Service. Although he said, “Less tax was paid among the details reported. I will pay the additional tax faithfully”, but public opinion worsened due to the feeling of betrayal towards the ‘national MC’. On the Internet, there was even a signature campaign for his expulsion.
In the end, Kang Ho-dong held a press conference and announced his temporary retirement from the entertainment industry, saying, “In the current situation, can you show your face broadly on TV and laugh and talk ?” He also withdrew from KBS’s 2 Days & 1 Night, which was the most popular at the time.
Afterwards, Kang Ho-dong’s suspicion of tax evasion was cleared by the prosecution. The National Tax Service did not file a complaint against Kang Ho-dong, considering that it was not a deliberate tax evasion, but a simple mistake by the tax accountant who was in charge of his agency at the time.
Along with the news of his acquittal, Kang Ho-dong’s high power retirement statement raised public opinion of sympathy. After spending more than a year of self-reflection, he returned to broadcasting and now, 10 years later, he stands tall again as a ‘national MC’.
The recent tax investigation conducted by the National Tax Service on 84 people including entertainers, YouTubers, and web content writers is not unrelated to the heightened public awareness of tax evasion. Regardless of the veracity of the allegations and whether they were intentional or not, the public cannot welcome the news of celebrities imposing additional fines of hundreds of millions of won one after another.
Can their ‘explanation of the statement’ put an end to the suspicion of tax evasion that started in succession with a simple incident? The public’s gaze towards them is a mixture of suspicion and anxiety, anticipation and relief. A sincere explanation is essential for a clean finish with no looking back. It needs to be aligned with the public eye level.
iMBC Seunghun Baek | iMBC DB Pictures | Photo courtesy of each agency
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