Hiding "Luxury Bags, Pure Gold, and Artwork," Owes Over 10 Billion Won in Taxes... National Tax Service and Local Governments Conduct Joint Raids

Joint Raids Conducted from October 20 to 31
'National Tax Delinquency Management Team' to Be Established Next Year
All Available Means to Be Mobilized for Strict Response

Tax delinquent "A" failed to pay real estate capital gains tax and other taxes, resulting in arrears exceeding 10 billion won. The National Tax Service found that the loans secured by the relevant real estate were substantial, and the use of the funds was unclear. Furthermore, both A and A's spouse were tax delinquents with no income, yet they paid large legal fees and covered their child's overseas study and living expenses, raising suspicions of asset concealment. This prompted the National Tax Service to launch a tracking investigation. By tracing funds believed to be rental deposits for a residence, the agency identified the address and conducted a joint raid, seizing a total of 900 million won worth of assets at the delinquent's actual residence, including cash, 10 don (approximately 37.5 grams) of pure gold, four pieces of artwork, and 60 luxury Hermes bags.

Luxury bags seized through a joint raid conducted by the National Tax Service in cooperation with local governments. National Tax Service

The National Tax Service announced on the 10th that, in cooperation with seven metropolitan local governments including Seoul and Gyeonggi Province, it conducted joint raids from October 20 to 31 targeting high-value and habitual tax delinquents suspected of concealing assets.

Park Haeyoung, Director of the Collection and Legal Affairs Bureau at the National Tax Service, explained, "The targets of the joint raids were high-value and habitual tax delinquents who had failed to pay both national and local taxes, despite having the ability to pay, and continued to enjoy a lavish lifestyle while willfully avoiding tax payments. The joint raid teams shared information on suspected asset concealment held by the National Tax Service and on-site information from local governments, such as CCTV footage and apartment management data, to determine the subjects and locations for the raids. They then jointly carried out stakeouts, field investigations, and searches to verify the actual circumstances of the delinquents."

There were also delinquents who enjoyed a luxurious lifestyle, such as paying high monthly rent and making extravagant purchases with income earned without business registration, while evading tax payments. According to the National Tax Service, delinquent "B" was the CEO of a company engaged in computer security services and received commission income for a long period into an account under his own name without reporting it. B failed to pay comprehensive income tax imposed for suspected corporate income diversion on commissions earned while the company was operating, and also failed to pay value-added tax and comprehensive income tax imposed as an unregistered business for commissions received after the company closed, resulting in arrears amounting to several billion won. The joint raid team investigated B's registered address, confirmed that he was actually residing there, and identified it as a location for asset concealment before conducting a joint search. As a result, they seized a total of 41 items, including six luxury bags, 12 pieces of jewelry, and high-end clothing, valued at approximately 50 million won.

Through these joint raids, the National Tax Service and local governments seized a total of 1.8 billion won worth of assets, including approximately 500 million won in cash, dozens of luxury bags, and pure gold. The seized items will be processed for cash collection and public auction by the respective authorities that executed the seizures.

Director Park stated, "Building on the results of these joint raids, we will continue to expand joint responses such as sharing tax information and expertise and conducting joint raids with relevant agencies to target high-value and habitual delinquents who conceal assets and maintain lavish lifestyles. In particular, next year, we plan to establish the 'National Tax Delinquency Management Team' to assess the economic circumstances of all delinquents, and for those identified as malicious tax evaders who deliberately avoid payment, we will mobilize all available means to respond strictly."

This content was produced with the assistance of AI translation services.