Yoo Yeon Seok, a prominent South Korean actor, faced the largest reported tax penalty among local celebrities, which was later reduced after a reassessment. Initially, the National Tax Service (NTS) imposed a hefty 7 billion KRW (approximately 480,000 USD) penalty in March 2025. However, following a month-long audit, this amount was revised downwards. According to a report by Allkpop on April 10, Yoo’s agency confirmed that the actor had paid the adjusted tax penalty in full.
Yoo Yeon Seok’s agency, King Kong by Starship, had contested the original 7 billion KRW charge. After a thorough review, the NTS acknowledged the possibility of double taxation, leading to a reduction of the penalty from 7 billion KRW to 3 billion KRW (around 206,000 USD). The agency clarified that discrepancies arose due to differing interpretations of tax laws. They explained that Yoo Yeon Seok’s tax accountant and the NTS had calculated the amounts differently.
The issue stemmed from Yoo Yeon Seok‘s business activities, which include producing content on YouTube. Since 2015, the actor expanded his career to include YouTube content creation, which led to the establishment of his own agency. The NTS initially sought to impose personal income tax on earnings related to this business, rather than a corporate tax, resulting in the large penalty.
In their statement, the agency confirmed that the final revised tax penalty of 3 billion KRW was paid in full by Yoo Yeon Seok. The actor’s label clarified that his agency was set up not only to manage his YouTube ventures but also his other business interests, such as in the food service industry. The re-evaluation by the NTS acknowledged that Yoo had been wrongly assessed for double taxation, leading to the reduction in his penalty.