Tax agency launches probes into 50 firms over misuse of corporate-owned homes
Korea's tax agency said Tuesday it has launched tax audits of 50 companies on suspicions their owners and family members used corporate-owned luxury homes for private purposes as part of tax evasion schemes. The National Tax Service (NTS) said the audits came after an earlier review found that owners and their family members had privately used 1,097, or 42 percent, of the 2,639 corporate-owned…
The Korea National Tax Service announced on Tuesday that it has initiated tax investigations into 50 firms suspected of misusing corporate-owned luxury residences for personal gain. This move follows an earlier review that identified 1,097 out of 2,639 such properties - representing 42% of the total surveyed - being privately used by owners and their family members.
The properties in question are those larger than 85 square meters with an assessed value surpassing 900 million won, thereby qualifying for the comprehensive real estate holding tax.
The tax auditors have targeted 50 companies, whose combined activities are estimated to have involved a staggering 1.9 trillion won in tax irregularities. These firms are accused of providing residences to their families, facilitating circumvention of multiple-home ownership and lending regulations, and maintaining exclusive vacation homes.
For instance, one company reportedly acquired a luxury home in the heart of Seoul for more than 20 billion won and subsequently spent an additional 10 billion won of corporate funds on extensive renovations and interior modifications. Another entity's tax evasion scheme remains unclear from the available information.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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