On January 22, news broke that Cha Eun Woo was under investigation by the National Tax Service for allegedly evading taxes through a company established by his mother. His agency, Fantagio, issued a statement explaining that the case centers on whether the company qualifies as a taxable entity and assured the public that they would clarify matters through legal procedures.

The tax authority claims Cha Eun Woo underreported earnings by funneling income through Company A, set up by his mother. The structure allegedly involved service contracts between Fantagio and Company A, which the authorities suspect was a shell entity, used primarily to avoid paying full taxes. The amount of back taxes he has reportedly been asked to pay over ₩20 billion marks one of the highest ever for a Korean celebrity.

In stark contrast, Yoo Jae Suk’s tax practices are being reexamined and lauded. Despite being subject to an intensive audit in 2024, no evidence of tax evasion was found. In fact, his tax strategy stunned even financial experts.

In August 2025, tax accountant Yoon Na Kyum shared details of Yoo Jae Suk’s unique filing method on the YouTube channel Tax Saving TV. While most celebrities maximize deductions by using detailed bookkeeping to lower their tax bills, Yoo Jae Suk opted for the “standard expense rate method” a simplified system requiring no receipts but resulting in significantly higher taxes.

cha eun woo

According to Yoon, if Yoo had filed using the usual method, his tax bill on an income of ₩10 billion (approx. $7.5 million) would have been around ₩2.7 billion. However, by using the standard method with an 8.8% deduction rate, he voluntarily paid ₩4.1 billion in taxes.

Yoon remarked, “This is an extraordinary case of someone choosing trust over money. Yoo Jae Suk exemplifies true noblesse oblige. Paying taxes honestly is something to be proud of.”

As the contrast between the two celebrities circulates online, Yoo Jae Suk’s integrity continues to be celebrated not just for his professionalism, but for setting a powerful example in an industry often mired in financial controversies.

Sources: Daum