Samsung's heirs paid $ 11 billion in taxes
Samsung's heirs paid $ 11 billion in taxes

The family of the late Samsung Electronics CEO said on Wednesday that it will pay a hefty inheritance tax of more than 12 trillion won (about $ 10.78 billion).

At 50%, South Korea is one of the countries with the highest inheritance tax rate in the world, and the second-highest inheritance tax rate in the world after Japan.

Investors have paid close attention to this tax issue as it may affect the family's stake in Samsung.

The Lee Jianxi family said in a statement: The inheritance tax is the largest in the history of South Korea and the world, and is four times the total property tax income of the southern government. Korean last year.

According to the legal requirements, the family plans to pay the inheritance tax in full within five years from April 2021, more than half of the total value of the deceased's property. President.

After Lee Kun-hee made the Samsung Group the largest conglomerate in South Korea, he passed away in October 2020 at the age of 78. His father, Li Bingzhe, founded the group and passed away in 1987.

The family is likely to increase the inheritance tax through dividends and will also be able to borrow bank loans, Yonhap News Agency said, and the family did not disclose how the family members divided their shares. Father.

According to a Reuters report in October, Li Jianxi is the richest man in South Korea with an estimated share of $ 23.4 billion.

It comprises 4.18% of Samsung General Electronics, 0.08% of preferred stock, 20.76% of Samsung Life Insurance, 2.88% of Samsung C&T, and 0.01% of Samsung SDS.

The family also said it will donate one trillion won for health and medical care, and will donate its collection of cultural relics and paintings (nearly 23,000 items) to the National Museum of Korea and other countries affiliated with other cultural organizations.

Samsung is the largest family-owned chaebol group in South Korea which has historically played an important role in South Korea's economic development.

These companies, including Hyundai Motor Group and SK Group, control a large network of companies through a recurring contract structure, and their control generally exceeds treasury rights.

This means that while family firms hold relatively few direct shares, they often exert insufficient influence over group companies.

In January this year, a South Korean court sentenced Samsung heir Jae Wai Lee to two and a half years in prison.

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