National Tax Service launches investigation into YGE

Korea’s National Tax Service has reportedly launched an investigation into YG Entertainment over suspicions of tax evasion, which can be traced back to the reporting on clubs linked to YG evading being taxed at proper rates. National Tax Service sent investigators to YG Entertainment’s headquarters in Mapo District, Seoul to retrieve tax-related documents. It has been reported that almost 100 investigators were present on scene. YG Entertainment previously received a regular tax investigation, which is normally held every five years, in 2016. This new investigation is a special tax investigation led by the 4th Investigation Bureau of the National Tax Service Seoul Regional Office. This investigation is not limited to the finance-related departments but involves a wide range of departments such as performance and marketing.