Ji Chang Wook’s Agency Issues Official Statement Following Massive Tax Evasion Controversy

Ji Chang Wook‘s agency has issued an official statement after it was reported the actor owed billions in tax arrears.

On the 2nd, Ji Chang Wook’s agency, Spring Company, released an official statement saying, “We deeply apologize for causing concern to many people due to this matter. However, we want to clearly state that there was no intentional income omission or fraudulent evasion.”

Earlier, a media outlet reported that Ji Chang Wook underwent an intensive tax investigation by the Seoul Regional Tax Office Investigation Division 2 in March, which resulted in a demand for back taxes amounting to billions of won.

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According to the report, the National Tax Service detected signs of tax evasion or improper handling during the tax verification process. Although the taxes were filed considering the expenses as legitimate costs for entertainment activities, the tax authorities classified them as personal expenses or costs with unclear recognition under tax law, and thus imposed taxation.

In response, Ji Chang Wook’s side explained through an official statement that there was no intentional wrongdoing. The agency stated, “During the recent tax investigation, the company transparently submitted related materials and sincerely cooperated with the inquiry, but we confirmed that there was a difference in interpretation and application of tax law with the tax authorities regarding whether the income from the actor’s entertainment activities should be attributed to the individual or the corporation in accordance with the principle of actual taxation.”

They continued, “While there is such a difference in opinion, Ji Chang Wook has always prioritized sincere tax compliance and strictly adhered to relevant laws and procedures without any tax issues since his debut in 2008. Therefore, we respect the results of the National Tax Service’s investigation and will promptly pay the imposed back taxes according to the relevant procedures.”

Finally, they stated, “We will further scrutinize our tax and accounting management system to prevent similar incidents in the future and continue to faithfully fulfill our tax obligations in compliance with laws and principles.”