On October 2, lawyer and accountant Kim Myung-kyu shared on his social media, "Even before the dust settled on Cha Eun-woo's 20 billion won tax issue, similar allegations have surfaced against Kim Seon-ho, who is under the same agency. This involves using a family-owned corporation, sending a warning to the entire industry."
Kim explained, "In summary, it appears a corporation was established at his residence, with living expenses charged to a corporate card, and his parents registered as executives receiving salaries." He added, "The agency's explanation that it was a corporation for theater activities and is now closing could backfire."
He further stated, "If there was no business activity, there should be no business expenses. If the corporate card was used and salaries were paid to his parents during the year the business was inactive, that money becomes non-business-related expenses under tax law. Closing the business doesn't erase past accounting records."
Concerns have been raised that Kim Seon-ho's explanation might exacerbate the controversy. Kim Myung-kyu noted, "The core issue is 'substance.' They must properly clarify whether they genuinely planned theater activities and if his parents genuinely worked. Failing to do so could escalate the 'tax evasion allegations' into 'embezzlement and breach of trust controversies.'"
Previously, on October 1, a media outlet reported that Kim Seon-ho established a separate corporation at his residence in Yongsan-gu, Seoul, in January 2024, under the guise of planning performances, with him as the CEO and his parents as internal directors and auditors. The outlet suggested that the corporation was more for asset management and income distribution than actual business activities, with indications of personal use of corporate accounts and cards, raising suspicions of tax evasion and fund misappropriation.
In response, Kim Seon-ho's agency, Fantagio, stated, "The one-person corporation was established for theater production and related activities, not for intentional tax avoidance or evasion. Actual business activities ceased over a year ago, and the closure process is underway."
Reporter Se-yoon Jung, TenAsia yoon@tenasia.co.kr