'Reply 1994' star Yoo Yeon Seok hit with 7 billion won tax bill – report

Yoo Yeon Seok, the South Korean star known for his roles in "Reply 1994" and "Hospital Playlist," is facing a tax bill of approximately seven billion won (around P273.9 million or $4.8 million).

According to The Korea Herald on Tuesday, it is reportedly the biggest tax bill "ever imposed on a South Korean celebrity."

The billing stemmed from concerns in relation to the establishment of Forever Entertainment, an agency founded by Yeon Seok.

On March 14, Yeon Seok's management, KingKong by Starship Entertainment, released an official statement addressing the tax investigation, which Soompi translated.

According to the agency, the tax issue came to light due to differences in the "interpretations and applications of tax law between our tax representatives and the tax authorities."

"As this is not yet a confirmed or finalized decision, we plan to actively present our case through the proper legal procedures," KingKong by Starship said.

The agency also stated that the issue results from the National Tax Service classifying Yoo Yeon Seok's income in the past five years from his YouTube content and related business and food ventures as "subject to personal income tax rather than corporate tax."

"This resulted in personal income tax being levied on earnings that had already been fully reported as corporate income by his tax representatives," KingKong by Starship said.

"Yoo Yeon Seok has always prioritized fulfilling his tax obligations with integrity and will continue to abide by all relevant laws and procedures as a responsible citizen," the agency added.

Aside from Yeon Seok, other South Korean celebrities also came under scrutiny due to tax issues, including Lee Ha Nee and Park Hee Soon.

— Hermes Joy Tunac/CDC, GMA Integrated News