21 creators probed last year, slapped with an average of 420 million won in back taxes

(123rf)
(123rf)

South Korean tax authorities are intensifying efforts to collect unpaid taxes from high-income YouTubers and online streamers, with 21 individuals or entities investigated last year alone, slapped with an average back tax bill of around 420 million won ($304,600).

According to data submitted to the National Assembly by Rep. Jung Tae-ho of the Democratic Party, the National Tax Service collected a total of 8.9 billion won from those 21 cases, a slight drop from 9.1 billion won collected in 2023.

Still, the broader trend points to a clear pattern of increasing scrutiny. Between 2019 and 2022, only 22 creators were audited. But in 2023 alone, 24 were investigated, followed by another 21 last year. Tax penalties rose sharply as well. Just 5.6 billion won was collected during the 2019-2022 period. That number jumped to 9.1 billion won in 2023 and 8.9 billion won in 2024. The figures include income not only from YouTube but also from any other business activities associated with each creator.

Over the full 2019-2024 period, the authorities conducted 67 investigations, uncovering a total of 23.6 billion won in unpaid taxes.

In a statement, the NTS said it was verifying the accuracy of declared income from YouTubers and "responding strictly" when tax evasion is suspected.

This year, the agency expanded its investigations to include 17 additional creators and platforms. Among them are operators of so-called "Excel broadcasts," a donation-driven form of streaming where performers, known as BJs, compete in real time for viewer tips by performing provocative content. Some earn more than 10 billion won a year from these streams.

Other targets include channels accused of misusing deepfake technology to promote gambling and YouTubers who profit from sensationalizing real-life tragedies, a group the NTS refers to as “cyber wreckers.”

Under Korean tax law, anyone who earns ongoing income from producing content online is required to register as a business operator and file a comprehensive income tax return. This includes all revenue from YouTube’s Super Chat feature and bank transfers labeled as viewer donations or subscription payments.

Rep. Jung noted that many creators fail to report individual donations and warned of growing tax blind spots. He called for stronger reporting systems and measures to encourage voluntary compliance.

Recent government data also highlights sharp inequality within the creator economy. According to a separate report released by another Democratic Party Rep. Kim Young-jin, the top 10 percent of Korea’s registered one-person media creators earned an average of 344.9 million won in 2022. The bottom 10 percent made just over 20 million won.


mjh@heraldcorp.com