Seoul Tax Office Creates Elite Team to Hunt High-Value Tax Evaders

The Seoul Regional Tax Office's Investigation Bureau 4, notorious as the "grim reaper of the business world" for its special tax investigations, is forming a dedicated team to pursue ultra-high-net-worth individuals suspected of hiding assets and evading taxes. This move signals a heightened effort by the National Tax Service (NTS) to crack down on sophisticated tax evasion schemes.

Announced on August 12 during a meeting of tax office directors, the new "Tax Evasion Tracking and Tax Investigation Linked Team" will be established within Investigation Bureau 4 of the Seoul Regional Tax Office and Investigation Bureau 3 of the Jungbu Regional Tax Office. These bureaus are responsible for non-regular, special tax investigations triggered by suspicions of tax evasion.

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The new team will focus on identifying assets concealed by wealthy taxpayers, often with the help of experts, through overseas related companies or nominee accounts.

The specialized team will focus on identifying assets concealed by wealthy taxpayers, often with the help of experts, through overseas related companies or nominee accounts. The NTS plans to leverage its capabilities in collecting and analyzing overseas information and its power to temporarily retain documents and records. This approach aims to increase the effectiveness of non-regular tax investigations.

An NTS official stated that the team will initially operate in the Seoul and Jungbu offices, which possess the strongest capabilities in examining transactions involving owners and their related companies. The NTS will consider expanding the dedicated teams nationwide if the need arises. This initiative reflects a strategic effort to bolster tax collection and ensure fairness in the tax system by targeting those who attempt to circumvent their obligations through complex financial maneuvers.

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The team will initially operate in the Seoul and Jungbu offices, which possess the strongest capabilities in examining transactions involving owners and their related companies.