Yoo Yeon-seok of When The Phone Rings fame gets 4 Billion KRW respite in tax evasion case

Some days back, there was news that Yoo Yeon Seok is facing the biggest tax penalty amount amongst all South Korean stars. The other names were Lee Joon-Gi and Jun Ji-Hyun. However, news has come that the tax evasion amount has been reduced after a re-evaluation. In March 2025, he got a notice that he has to pay around seven billion KRW as tax penalty. The When The Phone Rings star immediately asked for a reassessment. 

AllKpop has revealed that after a month-long audit, the penalty has come down by a significant amount. Yoo Yeon-seok has paid off the entire sum clearing the matter. The actor’s agency King Kong by Starship said it was unlikely that unpaid taxes were amounting to seven billion Korean won and requested for a re-evaluation by the National Tax Service. 

After the new tax audit, the evasion amount came down from seven billion KRW to three billion KRW. His agency put out a statement for the media saying, “After clarifying different interpretations of existing tax laws, the National Tax Service has recognized that Yoo Yeon Seok may have been subject to double taxation.” 

“After clarifying different interpretations of existing tax laws, the National Tax Service has recognized that Yoo Yeon Seok may have been subject to double taxation.”

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The actor would have ended up paying double the taxes if he had not asked for a re-evaluation. It seems there was a vast difference in the tax calculations of the investigation authorities and the company’s tax accountants. Hence, he asked for a re-audit as the discrepancy felt too high. They further wrote in the press note, “The amount owed by Yoo Yeon Seok based on the re-evaluation came out to be 3 billion KRW, which the actor paid in full.” 

The agency also explained why there was a difference in figures in the first place. From 2015, Yoo Yeon Seok opened his own YouTube channel. He creates and shares produced content on the same. This is one of his sources of income along with his activities as an actor and singer. 

Like many stars, he too opened an agency of his own to manage his work. This created suspicion on how he did he manages resources to fund such a big move. 

In order to manage his activities on YouTube as well as in other areas like the food service industry, Yoo Yeon Seok established an agency

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His agency clarified, “In order to manage his activities on YouTube as well as in other areas like the food service industry, Yoo Yeon Seok established an agency. The National Tax Service initially attempted to impose a personal income tax on earnings from Yoo Yeon Seok's agency rather than a corporate tax, resulting in the high tax penalty.”