National Tax Service to track "malicious tax evaders" hiding assets as unpaid taxes exceed 100 trillion won

Unpaid tax amounts, a major cause for the failure to secure national tax revenue, have exceeded 100 trillion won. According to information provided by the National Tax Service, the total number of tax delinquency cases by tax item reached 5 million last year. Delinquents are divided into "concealment types," who hide assets despite having the ability to pay, and "livelihood types," who face difficulty paying due to economic downturns.

"Zero balance but driving imported cars"... How to identify concealment-type evaders

The National Tax Service distinguishes between livelihood types and concealment types by analyzing the asset status and consumption patterns of delinquents. On the surface, both types share the commonality of claiming economic hardship, stating they have no assets in their own names and bank balances of "0 won." However, distinct differences appear in their detailed lifestyles.

In the case of livelihood-type delinquents, not only the individuals but also their spouses, who are full-time housewives, and their minor children appear to experience financial difficulties together. Conversely, malicious concealment-type evaders often lack assets in their own names, but their spouses or children frequently maintain luxurious lifestyles, using credit cards for amounts ranging from millions to tens of millions of won. These individuals also exhibit consumption behaviors that contradict their tax delinquency, such as living in expensive houses or driving imported cars. According to the explanation in the video, the National Tax Service plans to track these concealment-type evaders to the end to collect their assets.

On the other hand, for livelihood-type delinquents, the National Tax Service is supporting their recovery through tax payment deferrals or special delinquency support programs. The National Tax Service is precisely analyzing the consumption patterns, sources of funds, and changes in assets of delinquents to track hidden wealth.

From omitted sales to borrowed-name accounts... Various methods of hiding assets

The methods used by delinquents to hide assets vary depending on the tax item. In cases of delinquency regarding business-related taxes such as value-added tax or corporate tax, methods include intentionally omitting sales or receiving transaction payments through borrowed-name accounts using the names of others.

The methods used by real estate capital gains tax delinquents are even more specific. Representative methods include withdrawing large sums of money generated after selling real estate in cash or checks to hide them at home, or transferring funds to the accounts of spouses, children, or third parties to avoid tracking. The National Tax Service is precisely tracking the sources of funds and changes in property of delinquents to find these hidden assets.

The National Tax Service is applying various methods to pressure payment from high-amount and habitual delinquents, including exit bans, public disclosure of names, and securing custody (arrest). This targets malicious evaders who, despite having sufficient ability to pay, intentionally and intelligently hide assets to enjoy luxurious lives.

Rewards of up to 3 billion won for reporting hidden assets

The National Tax Service operates a system to pay rewards to citizens who contribute to finding the hidden assets of high-amount and habitual delinquents. The reportable targets include all types of tangible and intangible assets. If a report leads to the collection of at least 50 million won in taxes, a reward of up to 3 billion won can be received depending on the amount collected.

Reporting methods are diverse. One can visit the competent tax office in person, use the mail, or report online through the National Tax Service Hometax website. Additionally, reports can be made via an automated answering system (ARS) by calling 126 without an area code. The National Tax Service stated that it will strictly maintain the confidentiality of the reporter's identity.

The National Tax Service plans to track and collect hidden assets to the end so that honest taxpayers do not feel a sense of relative deprivation. The National Tax Service is working to ensure that citizens who pay taxes sincerely do not suffer damage by closely managing the assets of delinquents, and it requested much reporting and cooperation from citizens so that an honest tax culture can be established.

Source: original video (YouTube)