Cha Eun-woo's agency Fantagio apologized for a tax controversy involving one of its artists.
Fantagio posted an apology on its official website saying, "We deeply apologize for causing concern to many people due to recent tax-related controversies involving our company and our artists."
The agency said, "We regard this matter not as a simple individual case but as a serious problem stemming from the company's lack of managerial responsibility, and as a company that must manage and support the artist's activities overall, we did not sufficiently review the matter in advance and recognize and reflect on shortcomings in the management process with strict seriousness."
It continued, "Accordingly, Fantagio is currently conducting a full review of its internal management system and decision-making processes and is pursuing substantive improvements such as strengthening pre-verification procedures including tax and legal reviews," and "we will faithfully follow the relevant procedures and continuously supplement our internal control system to prevent similar cases from recurring."
Finally, it said, "Because Fantagio operates based on public trust, we will deeply reflect on this matter and respond with responsible changes."
Meanwhile, Cha Eun-woo underwent an intensive investigation by the Seoul Regional Tax Service's Investigation Division 4 on charges of tax evasion before enlisting last July, and was notified of a tax reassessment exceeding 200 billion won. This is the largest reassessment levied on an entertainer to date. After being notified of a reassessment exceeding 200 billion won, Cha Eun-woo's side filed a "pre-assessment review" challenging the tax office's decision.
Actor Kim Seon-ho was also recently embroiled in allegations of tax evasion over a one-person agency operated as a family corporation at the time of his previous agency contract. Through Fantagio, he said, "As a preemptive measure to correct the corporate management that was ignorant at the time, I submitted past corporate card usage records. I returned family wages and the corporate vehicle. For amounts previously paid to me through that corporation, in addition to the corporate tax already paid, I have completed payment of the individual income tax. The corporation's closure procedures are underway, and the administrative procedures will be completed soon," he announced.
[Photo] OSEN DB
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