Singer and actor Cha Eunwoo, a member of ASTRO, is facing the possibility of criminal charges related to allegations of tax evasion involving ₩20.0 billion KRW (about $13.8 million USD).
On the 30th, attorney Kim Jeong Gi commented on YTN Radio‘s Lawyer Lee Won Hwa’s Case X-File about the tax bill imposed on Cha Eunwoo. He stated, “This is the largest tax retroactive charge ever imposed on an individual entertainer in South Korea and among the highest amounts globally,” adding, “It is estimated that Cha Eunwoo’s income scale is at least ₩100 billion KRW (about $68.9 million USD).”
Attorney Kim analyzed that if this case goes beyond a simple tax miscalculation, it could lead to criminal prosecution. He explained, “If intentional deception is revealed, he could be prosecuted by the prosecution for violating tax evasion laws and face imprisonment or heavy fines.” He emphasized, “If the evaded tax exceeds ₩1.00 billion KRW (about $689,000 USD), the Act on the Aggravated Punishment of Specific Crimes applies, allowing for a prison term of at least five years.”
Furthermore, Kim noted, “Not only Cha Eunwoo’s mother, who is the head of the corporation, but Cha Eunwoo himself, as the actual beneficiary, could be investigated as an accomplice and subject to punishment.” He explained, “The key issue in this case is who led and approved the tax evasion.”
Regarding a past Instagram post where Cha Eunwoo shared a photo from an eel restaurant, Kim pointed out it could also become a legal issue. He said, “During trial, it could serve as circumstantial evidence that the corporate entity was deliberately concealed. Hiding the family-owned nature of the restaurant and promoting it as a favorite spot not only deceived the public but also inadvertently proved that the location was not actually an office.”
The Seoul Regional Tax Office’s Investigation Bureau 4 notified Cha Eunwoo in the first half of last year of a tax assessment exceeding ₩20.0 billion KRW (about $13.8 million USD). The tax authorities judged that Cha Eunwoo and his mother, identified as Choi, had reduced their 45% income tax burden by using an unclear corporate entity to apply a corporate tax rate that is more than 20% lower than the individual income tax rate. During this process, the agency Fantagio was also fined ₩8.20 billion KRW (about $5.65 million USD) in corporate tax last August.
Cha Eunwoo is currently appealing the tax decision through an administrative review before taxation. Following the controversy, on the 26th, he posted on Instagram, “I sincerely apologize for causing concern and disappointment to many people due to recent events involving me,” and added, “This incident has led me to deeply reflect on whether I have been sufficiently rigorous in fulfilling my tax obligations.”
ASTRO’s Cha Eunwoo Personally Speaks Up About Tax Evasion Controversy