The National Tax Service (NTS) has launched a regular tax investigation into Samsung Electronics. This is the first time in four years since October 2016.
According to the business sources on Sept. 25, the NTS has deployed three teams from the Seoul Regional Tax Office's investigation bureau 1 to each of Samsung Electronics' businesses since early September to conduct cross-tax investigations.
The cross-tax investigation is conducted by the NTS by separately deploying a competent investigation team, excluding the tax office which has jurisdiction over the company.
The jurisdiction over Samsung Electronics is originally held by the Jungbu Regional Tax Office. However, as the investigation personnel of the Jungbu office cannot cover all of Samsung Electronics, more than 30 members of the Seoul Regional Tax Office's investigation bureau, which has excellent investigation capabilities of large corporations, have launched a separate investigation.
In 2016, the Seoul Regional Tax Office's investigation bureau 1 was also in charge of Samsung Electronics' regular tax investigation. At that time, the NTS imposed 500 billion won (some $424 million) in taxes on Samsung Electronics after the investigation.