Samsung Electronics slapped with huge corporate tax bill

The National Tax Service is believed to have collected around 500 billion won ($442.5 million) in corporate taxes from Samsung Electronics, according to industry sources on Monday.

The tax body gave a notice to Samsung about the levy in the middle of March following a seven-month tax probe.

It has extended the investigation period twice.

A Samsung spokesman refused to confirm the total amount collected but said the firm has paid it in full without protesting the order.

Industry sources said the tax is linked to the sizable gap in the prices of goods traded among the leading Korean conglomerate’s overseas subsidiaries.

The amount is more than 20 times the 18 billion won that Samsung paid after the tax agency conducted a routine investigation in late 2007.

Hanjin set a record high in terms of a single corporate tax payment when it was ordered to cough up 541.6 billion won in 1999.