Yeongdeungpo District Collects 5 Billion KRW in Local Taxes Through First-Half Corporate Tax Audits, Exceeding Target by 238%

Strengthening Expertise and Efficiency Through Organizational Restructuring

On July 3, the Yeongdeungpo District Office in Seoul announced that it had collected a total of 5 billion KRW in local taxes through tax audits of corporations during the first half of this year. This figure represents a 162% increase compared to the amount collected during the same period last year and exceeds the Seoul Metropolitan Government's tax discovery target by 238%.

Cho Hogwon, Yeongdeungpo District Mayor. Provided by Yeongdeungpo District Office.

This year's first-half audit focused primarily on corporations whose headquarters or main business locations are outside of Seoul. Major cases included corporations that acquired real estate in Yeongdeungpo District while evading additional taxation, as well as corporations that received local tax reductions but failed to meet legal requirements. The district office conducted thorough preliminary analyses, combining document reviews and on-site inspections, to precisely uncover actual cases of tax evasion.

The background to this achievement lies in the increased efficiency resulting from the reorganization of the tax audit team. In January of this year, the district office split the existing corporate audit team into two separate units: the Corporate Management Team and the Corporate Audit Team, thereby separating audit planning from on-site investigations.

The Management Team was responsible for selecting audit targets and analyzing data, while the Audit Team, staffed with experienced personnel, was dedicated to on-site responses. This structure enabled the rapid and accurate identification of hidden tax sources within complex tax structures.

In addition, to enhance the expertise of audit personnel, the district office invited accounting professionals to provide practical training, thereby strengthening both data analysis capabilities and legal response competencies.

Building on these results, the district office plans to conduct detailed audits in the second half of the year targeting dormant corporations with unclear operations and cases of abuse of tax reduction programs in knowledge industry centers. The aim is to establish a foundation for fair taxation and transparent fiscal management by addressing blind spots in the tax system.

Cho Hogwon, Mayor of Yeongdeungpo District, stated, "By systematically separating tax audit personnel, we have improved both the accuracy and efficiency of our audits," adding, "We will continue to enhance tax fairness and the credibility of the district's finances through thorough tax audits."

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