Cha Eun-woo faces allegations of 20 billion won tax evasion

South Korean actor and idol Chae Eun-woo, a member of the group ASTRO, is facing allegations of large-scale tax evasion. Reports say the National Tax Service notified him of more than 20 billion won in additional taxes. His agency, Fantagio, released a statement saying it will fully cooperate with authorities to clarify the issue.

According to reports, a company founded by Chae Eun-woo’s mother signed a service contract with Fantagio related to his entertainment activities. His income was then shared among Fantagio, the company, and Chae himself. Tax authorities believe this company may be a “paper company,” meaning it may not have real business activity and was used mainly for tax purposes.

Fantagio stated that the main issue is whether the company legally qualifies as a taxable business under tax law. Chae Eun-woo has requested a pre-assessment review and is waiting for the final decision. His agency emphasized that he will continue to follow the law and meet all tax obligations while the case is being reviewed.

 

Source : https://www.koreatimes.co.kr/entertainment/shows-dramas/20260122/cha-eun-woo-faces-allegations-of-20-billion-won-tax-evasion

Comprehension

Who is Chae Eun-woo and why is he in the news?
How much tax is he accused of owing?
Who established the company involved in the case?
Why do tax authorities question the company’s legitimacy?
What steps are Chae Eun-woo and his agency taking?

Discussion

Why is tax compliance important for public figures?
What is a “paper company,” and why can it be a problem?
Should celebrities be held to higher standards than ordinary citizens? Why or why not?
How can unclear tax laws create disputes like this?
Why is cooperation with authorities important during investigations?

Vocabulary

Allegation – A claim that someone has done something wrong, not yet proven
Tax evasion – Illegal actions taken to avoid paying taxes
Agency – A company that manages or represents a performer
Paper company – A company that exists mainly on paper and has little or no real activity
Obligation – A duty or responsibility required by law