SEOUL – Another two actors have denied allegations of tax evasion after being fined by the South Korean tax authorities.
Kwon Sang-woo, 46, was reported by South Korean media outlets to have paid a hefty one billion won (S$1 million) fine to the National Tax Service, while Kim Tae-hee, 42, was said to have been fined several hundred million won.
Media reports earlier this week said Kwon had bought five luxury cars – including a Maybach, a Ferrari and a Rolls-Royce – through a company he had set up. This led to an irregular tax audit, which is conducted when there is suspicion of tax evasion.
His management agency, Su Company, addressed the allegations on Tuesday, saying: “It’s not tax omission or evasion. Payment and refund occurred at the same time, so it was a report of correction.”
It added: “The tax authorities asked for clarification on the timing of profit and loss attribution. There was a difference in the timing, so we voluntarily paid after completing the revised return.”
Popular K-drama actress Kim, who is married to singer-actor Rain, 42, also denied rumours of tax evasion through her agency, Story J Company.
In a statement on Wednesday, it said: “Throughout the years, Kim Tae-hee has sincerely and faithfully paid taxes in accordance with the law.”
It added that there was a delay in the payment of an advertisement modelling fee around the time that Kim’s contract with her former agency, Lua Entertainment, ended in 2019.
This fee was later deposited by her former agency to Kim’s personal account.
Story J Company said: “Revenues were reported diligently by Kim Tae-hee’s management and her former agency, and all due tax payments were made. However, her former agency treated the revenues from Kim Tae-hee’s (advertisement) deals as her sole revenue. Due to this internal conflict, there was a delay in the reporting of these earnings.
“The company would like to emphasise that no disgraceful activities took place during the auditing process, only that the actress was required to pay additional taxes, which she did diligently.”
Earlier this week, top actor Lee Byung-hun, 52, denied allegations of tax evasion after undergoing a special tax audit and paid a fine of 100 million won.
