SM Entertainment wins tax appeal overturning about 12.8B won in charges
Seoul’s Administrative Court ruled for SM Entertainment against the head of the Gangnam Tax Office, overturning additional corporate and value-added taxes totaling about 12.8 billion won. The court accepted the tax authorities failed to prove a reasonable compensation level for the founder’s producing payments under SM’s contract, canceling roughly 8.8 billion won in corporate taxes and 4 billion won in VAT.