Actor Ji Chang-wook has been assessed billions of won in back taxes following a National Tax Service audit.
The Seoul Regional Tax Office's Investigation Bureau 2 conducted a special, unscheduled tax audit of Ji around March and found evidence of unpaid or improperly handled taxes, resulting in an assessment of several billion won, Field News reported Tuesday.
The probe was triggered by Ji's establishment and operation of a one-person management agency, the outlet reported.
Ji's agency said it "respects the findings" of the investigation and plans to pay the assessed amount promptly. However, it said there had been "a difference of opinion with tax authorities over the interpretation of tax law — specifically, whether income should be attributed to the individual or the corporation under the substance-over-form principle," adding that "there was absolutely no intentional omission of income or fraudulent tax evasion." The agency also said Ji has "made faithful tax compliance his top priority since his debut in 2008" and pledged to "review our tax and accounting management systems more closely going forward."
Tax disputes involving entertainers' one-person agencies have continued to surface since actor Cha Eun-woo faced a similar large-scale back-tax assessment. Last month, actors Lee Yi-kyung and Lee Min-ki were also assessed additional taxes over the same type of arrangement.
Ji currently stars in "Colony," a film that has surpassed 3 million admissions and is enjoying a strong run at the box office. He also drew wide attention for a self-deprecating performance in an SK Telecom advertisement — so much so that some joked he must be struggling financially to take on such a role.
paq@heraldcorp.com
