Gyeonggi Province Discloses List of 3,126 High-Value and Habitual Tax Defaulters Owing Over 10 Million Won

[Suwon Ilbo=Reporter Kim Gapdong] Gyeonggi Province disclosed on the 20th a list of high-value and habitual tax defaulters who have not paid local taxes of 10 million won or more or local administrative penalties and fees for more than one year from the date the default occurred.

Local taxes refer to taxes levied by local governments, including acquisition tax, property tax, and local income tax, while local administrative penalties and fees are revenue sources other than taxes. Examples of local administrative penalties and fees include penalties for unlawful acts, such as administrative fines, compulsory execution fees, and compensation payments, as well as contributions imposed in connection with specific public interest projects.

The local tax high-value and habitual defaulters disclosed on the list include 1,830 individuals and 816 corporations, with arrears totaling 1.547 trillion won (110.6 billion won from individuals and 44.1 billion won from corporations). Local administrative penalties and fees defaulters include 374 individuals and 106 corporations, with total arrears of 48.2 billion won (23.5 billion won from individuals and 24.7 billion won from corporations).

Prior to disclosing the defaulter list, the province sent prior notification letters in March to 4,109 defaulters to guarantee a period of at least six months for submitting explanatory materials in accordance with Article 11 of the Local Tax Collection Act and Article 7-3 of the Act on Collection of Local Administrative Penalties and Fees.

The province disclosed the names and business names of 3,126 individuals who did not pay their arrears even during the explanation period, along with their age, address, tax item category, and details on the Gyeonggi Province website (gg.go.kr) and the We-Tax website (wetax.go.kr).

The distribution of disclosed targets by default amount bracket shows that 1,889 individuals (60.4%) have arrears between 10 million and 30 million won, 517 individuals (16.6%) between 30 million and 50 million won, 398 individuals (12.7%) between 50 million and 100 million won, and 322 individuals (10.3%) with arrears of 100 million won or more.

Among newly disclosed targets, the age distribution of individuals (2,204 people) shows 144 people (6.5%) aged 30 and under, 383 people (17.4%) in their 40s, 671 people (30.4%) in their 50s, 670 people (30.4%) in their 60s, and 336 people (15.3%) aged 70 and over.

Among the disclosed list, the highest local tax arrears by a corporation is 2.1 billion won owed by "Stock Company A Travel" located in Siheung City. The highest local administrative penalties and fees arrears by a corporation is also "B Stock Company" in Siheung City, which has defaulted on 2.7 billion won in compulsory execution fees under the Special Measures Act for the Designation and Management of Greenbelt Areas.

The individuals with the highest arrears include Kim, a resident of Yongin City, who has defaulted on 10.7 billion won in local income tax and other taxes, and Woo, a resident of Uijeongbu City, who has defaulted on 1.3 billion won in cadastral re-survey adjustment fees, a type of local administrative penalty.

Noh Seung-ho, director of the Tax Justice Division of Gyeonggi Province, stated, "We will not only disclose lists of high-value and habitual tax and local administrative penalties and fees defaulters, but also implement strong administrative measures such as restrictions on permitted business operations and collection measures including asset seizures and home searches." He added, "In particular, for defaulters who engaged in malicious asset concealment or tax evasion, we will conduct thorough investigations and take strong measures such as travel bans."