Tax tribunal rejects Yoo Yeon-seok's appeal over back tax assessment

Actor Yoo Yeon-seok’s appeal against a tax assessment was dismissed by the state-run Tax Tribunal last month after he paid 3 billion won ($2.1 million) in back taxes, according to his agency on Wednesday.

"The matter arose from differing interpretations and applications of tax law," Kingkong by Starship said. “The related legal proceedings have not yet been fully concluded."

The National Tax Service (NTS) notified Yoo last year that he had been assessed about 7 billion won in additional taxes in connection with the operation of his one-person agency.

Yoo later sought a preassessment review before the tax bill became finalized.

The tax authorities acknowledged that part of the assessment constituted double taxation and reduced the final amount of back taxes to around 3 billion won.

After paying the full amount, Yoo filed an appeal with the Tax Tribunal to challenge the NTS's assessment, which was turned down last month.

Yoo may pursue an administrative lawsuit to challenge the tribunal's decision, some observers say.

"We are carefully reviewing the facts and legal issues involved, and will take the necessary steps in accordance with applicable laws," the agency said. "Yoo Yeon-seok has consistently fulfilled his tax obligations in good faith, and he will continue to cooperate with the process in a responsible manner." 

BY HAN YOUNG-HYE [lee.soojung1@joongang.co.kr]