Song Hye Kyo and Cha Eunwoo are being mentioned together due to striking parallels in their public narratives. Both have been linked to large-scale tax controversies, and both currently serve as global ambassadors for a luxury jewelry brand often referred to as ‘Brand C.’ The amounts involved, however, differ dramatically: Song Hye Kyo was accused of evading approximately ₩2.5 billion, while Cha Eunwoo now faces allegations tied to a staggering ₩20 billion.

Song Hye Kyo’s case dates back to 2012, when a tax audit by the Seoul Regional Tax Office found that between 2009 and 2011, she had failed to properly declare taxes on roughly ₩5.4 billion of income out of ₩13.7 billion earned. At the time, tax experts criticized the case as unusually careless, noting that the undeclared amount appeared to have been reported without proper documentation. Some even suggested that the timing overlapped with a period when she had received recognition as a model taxpayer, raising suspicions that the system had been exploited.

Song Hye Kyo’s family later stated on a current affairs program that they were shocked by the findings, claiming there was no intent to evade taxes and that the issue stemmed from miscalculations handled entirely by a tax office manager. Nevertheless, Song Hye Kyo eventually issued a public apology in 2014, acknowledging her failure to fulfill her duties as a citizen and emphasizing that the mistake was born of ignorance rather than malice. She paid the full amount owed, including penalties and late fees, totaling around ₩3.1 billion, and the matter was considered closed.

Now, Cha Eunwoo finds himself at the center of a much larger controversy. According to reports, income earned from his entertainment activities was allegedly distributed among his agency Fantagio, a company established by his mother, and himself. The National Tax Service reportedly judged this family-linked entity to be a “paper company” that did not provide substantial services, concluding that the structure was used to reduce tax liabilities by applying a corporate tax rate significantly lower than the top personal income tax rate of 45%.

As a result, authorities issued a notice demanding additional taxes exceeding ₩20 billion, making it one of the largest such cases ever associated with a Korean celebrity. Cha Eunwoo reportedly underwent an intensive tax audit by the Seoul Regional Tax Office in the first half of last year.

Fantagio responded on January 22, stating that the core issue is whether the company founded by Cha Eunwoo’s mother qualifies as a legitimate taxable entity. The agency emphasized that the case has not been finalized or officially confirmed and pledged to actively clarify the matter through lawful procedures. They also added that Cha Eunwoo remains committed to fulfilling his tax obligations responsibly.

However, criticism has intensified as further details emerged, including claims that the company changed its structure from a corporation to a limited liability company to avoid external audits, and that its registered address was moved to Ganghwa Island an area often described as offering tax advantages when acquiring real estate. These revelations have fueled public backlash and amplified scrutiny of Cha Eunwoo’s role and awareness in the matter.

Sources: Naver