SM Entertainment to pay additional $10 million as a result of tax audit

One of the biggest entertainment companies in South Korea, SM Entertainment, publicly announced on June 23 that it was charged with an additional fee of 10 billion won (~ 10 million USD) in corporate taxes by the National Tax Service. �

As readers may recall, the Seoul Regional National Tax Service started a special tax investigation into the company starting back in March under the suspicion that the agency failed to file billions of won earned from their celebrities' overseas promotions. �

SEE ALSO: SM Entertainment denies reports about being the subject of a special tax evasion investigation

On this day, the company stated through a separate report, "The results of the tax investigation fined an additional corporate tax fee of 10 billion won (~ 10 million USD), which we paid due to the difference in deduction for tax amounts paid in a foreign country in relation to the accrued profits of our corporate body in Japan, SM Entertainment Japan.

They also revealed to us there were no cases of tax evasions through the company's omission of earnings from overseas promotions in relation to our international businesses. �Henceforth, the suspicions brought up in relation to our overseas business and foreign properties were revealed to have been groundless."