MANILA — Hallyu star Ji Chang Wook’s agency has denied allegations of tax evasion after reports claimed the South Korean actor was ordered to pay billions of won following a tax audit by the National Tax Service.

In a report, it said that according to a report by Field News on May 2, the actor underwent an irregular tax audit in March and was assessed additional taxes amounting to billions of won.

In a statement relayed through Soompi, his agency Spring Company clarified that there was no deliberate attempt to evade taxes.

“there was “absolutely no intentional omission of income or tax evasion through dishonest means.””

The agency apologized for public concern but said the issue arose from differing interpretations of tax rules on whether income from the actor’s entertainment activities should be declared personally or through his corporation under principles of economic substance.

Spring Company said it fully cooperated with authorities during the audit and submitted all required documents.

“During the recently conducted tax audit, our company transparently submitted all relevant materials and diligently cooperated with the investigation,” the agency said.

Despite the dispute, the agency said it respects the findings of the National Tax Service and will comply with the tax assessment.

It added that Ji Chang Wook has consistently complied with tax obligations since his debut in 2008.

The agency also said it will strengthen its tax and accounting systems to prevent similar issues in the future.

“In order to prevent a similar incident from occurring in the future, we will review our tax and accounting management systems even more closely, and we will continue to diligently fulfill our tax obligations while upholding the law and related principles,” Spring Company said.

Ji Chang Wook is known for his roles in Korean dramas such as Healer, The K2, Suspicious Partner, Backstreet Rookie, Lovestruck in the City, and Welcome to Samdal-ri.

He recently starred with Jun Ji-hyun in the zombie thriller Colony, which reportedly opened at No. 1 in Philippine cinemas and earned around P20 million on its opening day.

He is among several South Korean celebrities who have faced scrutiny over tax matters involving one-person corporations, including actors Cha Eun-woo and Kim Seon-ho.