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Tax service seizes $12M in luxury goods, cash in raids on evaders

Published: 10 Nov. 2025, 16:31

Hermes handbags are found at the residence of a taxpayer who failed to report capital gains after selling a high-priced commercial property and owes more than 10 billion won ($6.9 million) in unpaid taxes in this photo provided by the National Tax Service on Nov. 10. [NATIONAL TAX SERVICE]

Korean tax officials raided the homes of some of the nation’s wealthiest tax evaders last month, uncovering a trove of hidden assets — including dozens of Hermès handbags, stacks of cash and bars of gold — in a sweeping crackdown on chronic delinquents.

The National Tax Service (NTS) said Monday that it has seized luxury goods and cash worth 18 billion won ($12.4 million) from high-profile tax delinquents after a joint search with seven metropolitan governments from Oct. 20 to 31.

Joint search teams from local tax offices and municipal governments raided the homes and offices of 18 individuals in search of assets concealed to avoid paying both national and local taxes. The combined unpaid taxes amounted to about 40 billion won.

Among them was a taxpayer who failed to report capital gains tax after selling a high-priced commercial property and owes more than 10 billion won ($6.9 million) in total taxes. Despite having no declared income, the target and their spouse spent large sums on lawsuits and covered their child’s overseas education and living expenses.

Investigators traced their actual residence after finding signs of hidden assets. Upon searching the property, they discovered 60 Hermès handbags stored in orange boxes. Authorities also seized about 900 million won worth of assets, including cash, around 37.5 grams (1.3 ounces) of pure gold and four artworks.

The National Tax Service building in Sejong is seen in this file photo. [NEWS1]

Another case involved the CEO of a payment processing company who owed several billion won in income taxes. Financial records showed that the target withdrew large sums of cash with no clear explanation for how the money was spent. A search of the person's registered address turned up 10 million won in cash and two luxury watches. But investigators grew suspicious of the target's calm demeanor and conducted a follow-up search, finding that the CEO's spouse had secretly moved a travel suitcase containing 400 million won in cash, bringing the total seized to about 500 million won.

The raids uncovered about 18 billion won in assets, including 500 million won in cash, luxury goods, gold and artwork. Local tax offices will assess the value of the seized items through certified appraisal agencies before auctioning them off.

NTS Commissioner Lim Kwang-hyun said the operation was part of a broader effort to strengthen interagency cooperation and uphold fairness in taxation.

“This joint search demonstrates our commitment to ensuring tax justice,” he said. “We will take firm action against habitual and high-value tax delinquents who attempt to evade their obligations while maintaining extravagant lifestyles.”

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY JANG WON-SEOK [[email protected]]