23

5

General

SM Entertainment denies reports about being the subject of a special tax evasion investigation

Posted by serendipity47 pts Wednesday, March 19, 2014
misc.
Earlier today, media outlet 'Segye' released a report that claimed that the government has launched a special tax investigation on SM Entertainment on the suspicion that tens of millions of dollars had not been reported. However, the agency has released an official statement to deny the report and reveal that they're simply dealing with a routine check up that they go through every few years.


SEE ALSO: NCT WISH wins again with 'poppop' + Stellar performance on April 26th’s 'Show! Music Core'


'Segye' stated that according to insiders of The National Tax Service, 30 personnel were sent out to the SM Entertainment headquarters to collect various documents and records that may provide evidence of tax evasion. The media outlet states that rather than giving the agency a 10 day notice ahead of time, which is what happens in the case of regular routine check ups, The National Tax Service did not give the notice until the day of as this was being treated as a special investigation and they wanted to make sure there was no time for the agency to tamper or destroy evidence.


According to 'Segye's report, the agency is said to have set up various paper companies in Hong Kong and such under the name of famous artists, and hid the earnings from overseas concerts in the paper companies instead of reporting them on their tax documents.


However, SM Entertainment has released an official statement to deny that there was a special tax evasion investigation going on targeting the agency. They wrote, "We are sending our official statement regarding the report about the tax investigation... There is no truth to the contents about tax evasion, and we are simply under a normal routine investigation following the one we also completed back in 2009... Please refrain from making assumptions based on groundless rumors."


  1. misc.
  2. SM ENTERTAINMENT
0 45,285 Share 82% Upvoted

allkpop in your Inbox

THE TOP 10 STORIES DELIVERED DAILY
HaHa, Yoo Jae Suk
INFINITE, Woohyun
Apink, Park Bo Gum, Jun (Lee Jun Young)
Go Hyun Jung
misc.
MEOVV
ONEUS
LE SSERAFIM, Kim Chaewon, NewJeans
KARA
HaHa, Yoo Jae Suk
KARA
HaHa, Yoo Jae Suk
INFINITE, Woohyun
IVE, Yujin, Lee Young Ji, Oh My Girl, Mimi
Lee Na Young
New Message

SEND