Kim Jaejoong's Tax Bill Over 100 Million Won: "Income Omission in Japan Not Intentional"

Payment of 100 Million KRW in Additional Tax from Irregular Tax Audit

Kim Jaejoong (37), a member of the group JYJ and singer, was belatedly revealed to have paid a fine exceeding 100 million won.

On the 9th, New Daily reported that Kim Jaejoong was fined a large amount of tax during an irregular (special) tax audit conducted by the Seoul National Tax Service in 2020.

Kim Jaejoong [Photo by C-JeS]

It was stated that irregular audits are initiated when there are specific allegations such as tax evasion tips, raising suspicions of tax evasion. The report also added that most cases of planned tax audits conducted by the National Tax Service involve tax evasion through misuse of expense processing.

The media also pointed out that Kim Jaejoong earned profits by purchasing real estate with income generated while traveling between Korea and Japan, gaining capital gains.

Regarding this, his agency C-JeS Entertainment stated, "During the 2020 tax audit, some income generated from activities in Japan was omitted, resulting in additional taxes and a fine of 100 million won was paid."

They continued, "Taxes on the sales at that time were reported and paid faithfully. There was a timing difference in the settlement process while working between Korea and Japan, and some of the amounts reported as necessary expenses were judged to be unrelated to the business, which caused additional taxes."

They also refuted, saying, "The expense expenditures were due to differences in tax law interpretation distinguishing between business and personal expenses, and there was no intentional wrongdoing."