Luxurious Entertainment Places Under Special Tax Probe

A special tax investigation of 27 high-class entertainment establishemts, particularly night clubs, room salons and their derivatives, in Seoul has been carried out by the government.
The National Tax Administration(NTA) announced on Monday that 27 places, including room salons in Yoksam-dong and Nonhyun-dong and a night club at the K Hotel in Karak-dong, have illegally doctored the contents of bills paid by consumers through credit cards and intentionally under-reported their sales volumes.
A room salon owner in Yoksam-dong was charged with reducing the total sales amount applicable to taxation by converting 70 percent of money paid by credit cards to non-taxable service charges.
An official at the administration said that it will eventually disclose the total sales of the entertainment establishments by extending its investigation period , scheduled to end on December 21, an extra 40 days.
The administration also plans to place 190 entertainment establishments, which have been charged with tax evasion, under special control.
Seo Jang-soo:jsbee@joongang.co.kr