Seoul: A total of 49 foreign nationals are under investigation for allegedly evading taxes in the process of purchasing and owning high-end real estates, tax authorities here said Thursday. The foreigners under investigation used various illegal methods to avoid paying due taxes during their acquisition and ownership of apartments, mostly in Seoul's upscale Gangnam district and surrounding area, according to the National Tax Service (NTS).
According to Yonhap News Agency, around 40 percent of those under investigation are of Korean descent. They hold a total of 12 different nationalities, with U.S. and Chinese nationals making up the majority. Of around 230 apartment units involved in the investigation, about 70 percent are located in Seoul's Gangnam, Seocho, and Songpa districts, areas known for their premium real estates.
The combined amount of allegedly evaded taxes is estimated to be between 200 billion and 300 billion won (US$217 million). One of the properties is valued at over 10 billion won. Of the 49 foreigners under investigation, 16 individuals allegedly used overseas accounts to receive illicit funds disguised as gifts for purchasing expensive apartments.
Another 20 are suspected of using undeclared income obtained through domestic businesses operated by themselves or related people to fund their property purchases, the NTS said. The remaining 13 are accused of renting out high-end apartments without registering as landlords and failing to report rental income.
Foreign nationals purchased a combined total of 26,244 apartments from 2022 to April 2025, with the majority of transactions taking place in the greater Seoul area, the NTS reported. The number and total value of such acquisitions have continued to rise over the period.