The family that owns the Samsung Group pays 12 trillion in taxes

Industry sources in South Korea reported today that the family that owns the Samsung Group has finished paying inheritance taxes amounting to about 12 trillion won (8 billion US dollars) on the assets left by the late President Lee Kun-hee.

These payments, which were scheduled to be made over 5 years starting in 2021, marked the end of one of the largest inheritance tax obligations in South Korean history.

According to the sources, Lee Jae-yong, the late president’s only son, along with other heirs, financed the tax burden by selling more shares of the group’s subsidiaries, dividend income and other financing measures.

Other heirs include his mother, Hong Ra-hee, director emeritus of the Leum Museum of Art; His sisters Lee Bu-jin, CEO of Shilla Hotel; Lee Seo-hyun, president of Samsung C&T.

When submitting the inheritance tax return, the family expressed its commitment to pay in accordance with the law and principles, noting that paying taxes is a natural duty for citizens.

Since Lee Kun-hee’s death in 2020, the family has received nearly 4 trillion won in dividends from Samsung subsidiaries, and when previously accumulated profits are taken into account, it is estimated that the family used more than 6 trillion won to finance tax payments.

The rise in share prices of the group’s main companies, including Samsung Electronics, also helped ease the financial burden associated with securing funds.

Lee Kun-hee left a fortune estimated at 26 trillion won, consisting of stocks, real estate and art collections. The inheritance tax on that wealth is estimated at 12 trillion won, one of the largest inheritance taxes ever imposed in the history of South Korea.