Suwon City Collects 2.1 Billion Won Through 2024 Corporate Local Tax Audit

[Suwon Ilbo=Reporter Jeong Jun-sung] Suwon City announced on the 21st that it has completed a corporate local tax audit and collected 2.1 billion won in back taxes from 75 corporations found to be evading local taxes.

The city selected 135 corporations for regular tax audits in 2024 following deliberation by the 'Suwon City Local Tax Review Committee,' and conducted tax audits targeting corporations that evaded local taxes by underreporting real estate acquisition values or omitting excess acquisition tax charges.

The audit was conducted primarily through documentary review, supplemented by direct investigation depending on the scale and nature of each case.

By tax category, acquisition tax accounted for the largest share of collected back taxes at 1.942 billion won (89.3%), followed by local income tax at 14 million won (0.7%), and other local taxes including resident tax at 184 million won (10.0%).

Types of tax evasion included under-reporting at 1.501 billion won (69.0%), excess taxation at 548 million won (25.2%), and other cases at 125 million won (5.8%).

The city actively conducts tax audits when discovering false tax exemption applications or omitted acquisition tax filings and collects evaded local taxes, while suspending audits for small and conscientious enterprises in a business-friendly approach to tax audits.

A city official stated, "The omitted tax sources recovered through tax audits serve as additional new tax sources beyond existing revenues and contribute to Suwon City's tax revenue," adding, "We will conduct thorough tax audits to prevent tax evasion and ensure no new tax sources are overlooked, thereby realizing tax justice."