K-pop icon Psy, the mastermind behind the global phenomenon 'Gangnam Style', is facing a severe financial and legal crisis. The National Tax Service (NTS) of South Korea has slapped the singer with a colossal tax bill totalling a reported 10.9 billion won, equivalent to a staggering £7.8 million.
The investigation, conducted by the Seoul Regional Tax Office's high-income crime division, centres on allegations of significant undeclared income. Authorities claim that Psy failed to report substantial earnings generated from his lucrative commercial ventures and performances outside of South Korea.
From Global Stardom to Financial Scrutiny
Psy, whose real name is Park Jae-sang, rocketed to unprecedented international fame in 2012. His hit single 'Gangnam Style' became a viral sensation, breaking YouTube's view counter at the time and introducing K-pop to a massive global audience. This fame translated into immense wealth through sold-out world tours, endorsements, and licensing deals.
According to the tax agency, a portion of this foreign-sourced revenue was not properly declared to Korean tax authorities. The NTS is now pursuing the recovery of the unpaid taxes along with associated penalties.
The Response from Psy's Camp
In response to the allegations, a representative from Psy's record label, P Nation, offered a statement. They acknowledged the tax levy but framed the situation as a common issue of differing interpretations in tax law, rather than deliberate evasion.
'We fully complied with the tax investigation and settled the additional taxes as notified,' the agency stated. 'The additional tax levy arose from differing views on income calculations, particularly concerning overseas earnings. There was no intention to evade tax obligations.'
This scandal serves as a stark reminder of the complex financial dealings and intense scrutiny that accompany global celebrity status, potentially tarnishing the legacy of one of South Korea's most famous cultural exports.
