[Asia Economy Reporter Lee Kwang-ho] The National Tax Service (NTS) is set to inspect not only mask manufacturing and distribution companies but also firms producing the key material for masks, the filters.
On the 28th, starting from 10 a.m., the NTS announced that it began a comprehensive inspection of 12 manufacturers of mask MB filters (melt-blown nonwoven fabric).
These 12 companies account for 95% of the domestic production of MB filters.
MB filters are the core material used in the inner layer of health masks. The performance rating of masks, such as KF80, KF94, and KF99, varies depending on the particle blocking level of this filter.
The reason the NTS is inspecting mask filter manufacturers is due to concerns that hoarding or undocumented large-scale transactions of filters could disrupt mask production.
In fact, during the ongoing inspections of mask manufacturing and distribution companies by the NTS, some cases of MB filter hoarding and other distribution order disturbances have been detected.
The main inspection points for MB filter companies by the NTS include ▲ undocumented transactions (cash transactions without receipts, smuggling exports, etc.) ▲ supply avoidance and price gouging (sudden supply suspension followed by high-price sales) ▲ distortion of distribution structure by manufacturers (large high-value transactions with specific individuals), among others.
The NTS will deploy a total of 24 personnel on-site, organized into 12 teams of two per company. If any transaction order disturbances such as undocumented transactions or tax evasion are confirmed, the respective companies will be immediately selected for tax audits.
An NTS official stated, "We will continue to conduct comprehensive inspections until mask supply stabilizes and will strongly respond with tax audits against those suspected of hoarding, price gouging, and undocumented transactions."
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