It was found that the top 1% of sellers on Ticket Bay, a ticket resale platform for sports and performances, earn an average of 67 million won in annual sales revenue. With scalping rampant — for example, VIP tickets for singer G-Dragon's concert trading for 6.8 million won, 31 times the list price — some say relevant ministries need to cooperate to crack down.
According to data submitted by the National Tax Service to Cho Seung-rae, a Democratic Party of Korea lawmaker on the Strategy and Finance Committee, on the 15th, as of last year Ticket Bay had 44,160 users engaged in transaction and 298,253 transactions. Of these, the top 1% (441 people) by number of transactions accounted for 122,745 transactions, or 41.2% of the total. With the top 1% taking up nearly half of ticket resale transactions, it effectively amounts to a "business-type transaction."
The transaction amount of the top 1% on Ticket Bay reached 29.864 billion won. On average, each person handled 278 tickets per year, worth 67 million won. Broadening by number of transactions, the top 10% (4,416 people) accounted for 223,174 transactions (74.7%) and 55.187 billion won in transaction amount. The top 20% (8,832 people) recorded 248,007 transactions (83%) and 61.891 billion won in transaction amount.
According to Cho Seung-rae's office, Ticket Bay takes a 10% fee on the transaction amount. Teamplus, the operator of Ticket Bay, had 10.41793 billion won in fee income last year. Based on this, Ticket Bay's annual transaction scale is estimated to exceed 100 billion won.
Although the ticket resale market has grown into the 100 billion won range, there are no practical means to detect illicit sales. Under the current National Sports Promotion Act and Performing Arts Act, selling or brokering admission tickets, etc., to others as a habit or for business at a price exceeding one's purchase price is defined as "illicit sales." However, the Ministry of Culture, Sports and Tourism, the competent ministry, cannot directly verify whether habitual or business sales are occurring online and relies on individual reports.
The Strategy and Finance Committee selected the CEO of Teamplus, the operator of Ticket Bay, as a witness for the National Tax Service audit to be held on the 16th, but a non-attendance statement has been submitted.
Cho Seung-rae said, "Although Ticket Bay holds sales data that can prove business-like repeat transaction by a small number of sellers, it dismisses them as simple person-to-person transaction, raising the possibility that it falls under aiding or abetting illicit sales under current law," adding, "The National Tax Service's sales information should be shared with the Ministry of Culture, Sports and Tourism and the police to catch scalping operators."
He continued, "The National Assembly's request for the appearance of the CEO of Ticket Bay's operating company as a witness falls under an audit procedure grounded in the purposes of preventing irregularities, blocking tax evasion, and protecting people's livelihoods," emphasizing, "There needs to be a cooperative framework among administrative authorities to ensure that for-profit ticket resales do not lead to tax avoidance or illegal gains."