South Korean tax agency audits 50 firms over private use of corporate luxury homes

The National Tax Service has launched investigations into 50 South Korean corporations alleged to have provided high-value corporate-owned houses for the private use of owners and their families, thereby sidestepping tax and property regulations. An earlier survey revealed that owners and relatives occupied 1,097 of 2,639 homes—42%—each exceeding 85 sq m and valued above 900 million won, making them subject to the comprehensive real-estate holding tax.

Officials say the 50 firms may have engaged in tax violations involving roughly 1.9 trillion won. Cited cases include a company that purchased a central Seoul luxury home for more than 20 billion won and spent another 10 billion won on upgrades, as well as firms that supplied rent-free apartments in Seoul and Busan to owners or their families without registering them as residences. The investigation will also extend abroad, targeting corporate-owned housing given free to children studying overseas and related tuition or living-expense subsidies.