Over 25,000 Delinquents Managed by the 38th Tax Collection Division... One Investigator Handles 1,000 Cases
Up to 100 Million KRW Reward for Collecting Delinquent Taxes from Undisclosed Assets Reports
[Asia Economy Reporter Lim Cheol-young] The Seoul Metropolitan Government is stepping up alongside citizens to track down malicious and intentional tax evaders who conceal their assets.
According to Seoul City on the 30th, despite direct tax collection measures such as seizure, public auction, and collection upon confirming the assets of high-amount tax delinquents themselves, as well as administrative sanctions including public disclosure of names, travel bans, and provision of credit information, and investigations tracking family members and related parties, there are currently 25,000 tax delinquents managed by the 38th Tax Collection Division, with a total delinquent amount reaching 1.9 trillion won.
Although collection activities are being carried out using new collection methods such as seizing virtual assets and confiscating prison inmates' earnings, the methods of asset concealment by tax delinquents are becoming increasingly sophisticated and cunning, making citizen cooperation and participation more crucial than ever. In particular, one investigator is responsible for managing about 1,000 delinquents.
Accordingly, since 2014, Seoul City has established the ‘Tax Delinquent Concealed Asset Reporting Center’ and has received 76 reports so far. Among these, 12 billion won in delinquent taxes were collected from 10 reports, and 70 million won in rewards were paid. When tax delinquents’ concealed assets are reported with objectively verifiable evidence contributing to tax collection, the ‘Seoul Metropolitan Government Tax Revenue Collection Merit Review Committee’ deliberates and approves rewards of up to 100 million won.
Going forward, Seoul City plans to focus all efforts on promoting citizen participation in reporting concealed assets. In addition to traditional leaflet distribution, video and text promotions are being conducted using Seoul City’s outdoor media such as the electronic display boards on the city hall exterior walls, so that citizens can easily encounter them in daily life. The city plans to increase the number of display media and continue ongoing promotions.
Furthermore, Seoul City will collaborate with the 25 autonomous districts to promote concealed asset reporting throughout Seoul by utilizing major district media and banner stands at crossroads, aiming to prevent any further asset concealment to evade tax payments through citizens’ healthy suspicion.
Lee Byung-han, Director of the Seoul Metropolitan Government’s Finance Bureau, stated, “For those who faithfully pay their taxes, we will relentlessly pursue and collect from unscrupulous tax delinquents who maliciously conceal assets by operating businesses under others’ names or diverting assets to family members to avoid paying taxes while living lavishly.”
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