A civic group dedicated to taxpayer rights is taking legal action against tax officials and a journalist for allegedly leaking private information regarding Cha Eun Woo‘s recent tax audit.
The Korea Taxpayers Association announced plans to file a formal complaint with the National Investigation Headquarters of the Korean National Police Agency on February 9th. The complaint accuses an unnamed tax official and the reporter who first reported the story of violating privacy laws and breaching official duties.
The controversy started last month when reports said Cha Eun Woo faced an unexpected tax audit by a special NTS unit, the Investigation Bureau 4 of Seoul Regional Tax Office, that handles major evasion cases. He was reportedly assessed about 20 billion KRW ($13.6 million USD) in back taxes.
The National Tax Service alleged that a management corporation established by Cha’s mother was a “paper company” used to lower his tax burden.
The KTA has fiercely defended Cha, arguing that the public and media are confusing legal tax planning with criminal evasion.
“Tax avoidance is a taxpayer’s right,” the association stated in a press release. They explained the distinction: if a strategy to minimize taxes succeeds within the law, it is “tax saving”; if it fails or uses illegal means, it becomes “tax evasion.” Citing a U.S. Supreme Court precedent, they emphasized that a taxpayer’s legal right to reduce their tax liability “can never be questioned.”
The group also criticized the NTS for calling the mother’s corporation a ‘paper company,’ saying it unfairly assumes wrongdoing before anything has been proven.
However, the association says its main concern is the leak itself. “Leaking tax information is illegal,” the KTA said, adding that reports about celebrity tax audits are unlikely to surface without someone inside officially sharing the details. The group accused the NTS Commissioner of neglecting his duty by not investigating the source of the leak and called for a strict internal probe to identify and discipline those responsible.
The association also criticized what it described as public shaming of taxpayers. “Being asked to pay additional taxes does not automatically mean someone deserves criticism,” the group said. “Labeling someone a tax evader simply because they received a tax assessment unfairly damages their reputation.”
Netizens, however, remain divided on the issue.
Some voiced sympathy and compared it to past celebrity controversies.” “I think half of what they’re saying is right,” one commenter noted. “If it were a politician, fine, but this feels like he’s being thrown out just because he’s a celebrity. I can’t help but think of Lee Sun Kyun, who also died unfairly after being subjected to this kind of public shaming.”
Others were far less forgiving, directing their anger at both the celebrity and the civic group. “You should change your name to the ‘Tax Evaders’ Association,'” one user quipped.
Skepticism about the group’s motives also ran high. “What is this unheard-of civic group even doing?” another commenter asked. “Where were they when other celebrities were reported for tax evasion before?”
Some even hinted at conspiracy theories, linking the situation to other recent industry scandals. “Civic group? Aren’t you the ones involved?” one user wrote, while another added, “Unheard-of groups popping up out of nowhere… reminds me of the NewJeans case. The same law firm is behind this.”
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