South Korean actor-singer Cha Eun-woo apologises in first social media post since tax evasion allegations

South Korean singer-actor Cha Eun-woo, 28, has issued an apology, following allegations that he had committed tax evasion. On Monday (Jan 26) night, Cha – famous for his roles in K-dramas like True Beauty and A Good Day To Be A Dog – apologised via his Instagram page in his first post since the scandal.

Posting a plain black image, Cha wrote in a caption: "Due to the various issues surrounding me recently, I sincerely bow my head and apologise for making many people concerned and disappointed."

He also claimed that his military service "was by no means an intentional choice to evade the controversy".

"Last year, I reached a situation where I could no longer postpone my enlistment, and as a result, I entered military service without being able to fully conclude the tax audit procedures," wrote Cha.

He added that, going forward, he "will sincerely comply with all tax-related procedures".

"In addition, I will humbly accept the final judgement made by the relevant authorities and fully bear the responsibilities that follow from it," he stated. 

"From now on, I will hold myself to even stricter standards and, with gratitude for the love I have received, I will live with a far greater sense of responsibility."
 

On Jan 22, Korean news outlet Edaily reported that Cha was investigated for alleged tax evasion in 2025 and was recently notified by the National Tax Service of an additional tax assessment of more than 20 billion won (US$13.6 million).

The allegations centre on the “one-person agency” established by Cha’s mother. 

Although Cha is signed to management agency Fantagio, investigators found that a company, named Company A in reports, was set up by Cha's mother and placed between him and Fantagio via a service contract. It was also reported that Cha’s earnings were divided between Fantagio, Company A and Cha himself.

Tax authorities concluded that Company A did not provide any actual services and was a “paper company” created to reduce the income tax owed. The corporate tax rate is significantly lower than the income tax rate of 45 per cent. 

In response, Fantagio said that "the core issue in this matter" is whether Company A constitutes a substantive taxable entity.

"This matter has not yet been confirmed or officially assessed. We plan to actively provide explanations through lawful procedures regarding issues related to the interpretation and application of the law," wrote Fantagio.

According to Korean media outlets, Cha Eun-woo's tax assessment of more than 20 billion won is the highest-ever tax levied on a Korean celebrity.

Following the controversy, multiple brands have removed ads of Cha, including skincare brand Abib, which set promotional videos featuring him to private on YouTube, as well as Shinhan Bank, which has removed his videos and photos from their social media platforms.

Fashion brand Marithe Francois Girbaud, which named Cha as its ambassador in March last year, has also since made its ads of him private.