The National Tax Service has confirmed that they will impose additional billions in tax on YG Entertainment and Yang Hyun Suk.
The IRS conducted a special tax investigation against YG and former representatives for about 6 months from mid-March to the end of August. According to tax authorities, after conclusion of their special investigation they have decided to levy YG 6 billion won in additional corporate and income tax. This tax levy is a lot higher than the tax levied by the Seoul National Tax Service's Bureau after they completed their regular tax audit in May 2016.
However, the IRS stated that they have decided not to apply any other charges to the former representatives and YG, except for the massive tax collection. According to tax authorities, they were not able to find any other clear violations.
An official from the assessment agency stated, "the 6 month special tax investigation in our four bureaus and the transition from the tax offense investigation didn't rule out the possibility of prosecution. Of course, the amount of tax imposed isn't a small amount but it's not a large amount when compared to YG's sales volume."
In addition to the tax investigation charges, former representative Yang Hyun Suk is also under investigation for illegal gambling and 'hwanchigi' overseas and will be summoned by police soon.
In addition to the additional tax levies of 6 billion won, YG is also scheduled to repay 67 billion won to LVMH on October 16, 2019.
- 1. [+980, -14] Burning Sun is way too big in scale with all the drugs and bribery going on to think they can end it all with a 6 billion won payment, no?? tsk tsk
- 2. [+858, -19] The police have no problem foaming at the mouths for other cases and yet for this one... ㅋ
- 3. [+711, -6] Basically the price of a piece of gum for Yang Hyun Suk ㅋㅋㅋ
- 4. [+22, -4] So are they trying to end this all with a tax payment instead of investigating the rest? This is why money is power... the guilty can become innocent with it.
- 5. [+19, -2] Putting on a 6 billion won show, basically
- 6 .[+17, -6] Well... if they're not going to end up in jail because of all the bribery going on, at least rip out as much taxes as they can...
- 7. [+13, -5] That money is nothing to him
- 8. [+12, -2] I thought the total would at least come out to 20, 30 billion won~ this won't even cover the value of the auditors' time~
- 9. [+11, -0] Why has Burning Sun been so quiet lately? Not an ounce of news in the media about it anymore.
- 10. [+9, -0] I bet the prosecutors kiss Hyun Suk on his feet when they see him.
- 11. [+8, -0] This is the best they could do? I thought the auditors were scariest in the industry, what happened.
- 12. [+8, -3] So it took them months to barely come up with 6 billion won? Not even 60 billion?? Tsk, seems like it's true that they've all been bribed out.
Cr. Netizenbuzz for comment translations.