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Photo courtesy of OB Beer |
[Alpha Biz= Paul Lee] OB Beer has once again come under scrutiny from South Korea’s tax authorities, following a history of large additional tax assessments linked to alleged tax evasion.
Industry sources said the company was hit with additional tax bills of KRW 163.6 billion in 2013 and KRW 39.2 billion in 2020. Despite leading the domestic beer market with its flagship brand Cass, OB Beer has repeatedly faced allegations involving hundreds of billions of won whenever tax audits were conducted.
The latest investigation, led by Investigation Bureau No. 4 of the Seoul Regional Tax Office, began shortly after OB Beer executives were indicted last year on customs evasion charges, raising speculation that domestic tax violations may be linked to the customs case.
Authorities are also believed to be examining dividend payments to OB Beer’s overseas parent. In 2024, the company reported operating profit of KRW 367.6 billion and paid KRW 332.8 billion in dividends to Budweiser Brewing Company APAC, an affiliate of AB InBev.
OB Beer has not issued a detailed comment on the tax assessment and is reportedly preparing to challenge the outcome through formal appeal procedures.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
