Tax Authority to Cut No. of Regular Audits

The National Tax Service said Sunday that it will create a business-friendly environment by reducing the number of regular audits so as not to undermine corporate activity.

In a report to the presidential transition committee, the tax body said its measure will support economic revival and job creation.

"We will also review delaying audits for businesses that pay taxes regularly and creating more jobs," a tax official said. "We will also consider ending audits in progress early.”

Transition committee spokesman Lee Dong-gwan said, “A fundamental change in perception is needed. The National Tax Service should change from an agency that just collects taxes to one that offers service in paying taxes.

He said the committee ordered the agency to form a task force for tax administration reform, and find substantial solutions by benchmarking cases in developed countries.

Kang Man-soo, chief of the committee’s economic affairs subcommittee, said, “Prosecutors do not investigate someone who is not guilty, but the National Tax Service conducts an audit even if the person is not guilty.

“Good taxpayers have suffered, so those paying taxes on time should receive adequate compensation.”

ditto@donga.com