Record tax in history. Samsung CEO’s family paid billions
The family of Samsung’s president paid record inheritance tax. The amount is very impressive.
Family of the deceased president Lee Kun-hee completed one of the largest tax trials in history. Heirs related to Samsung they paid a total of about 12 trillion won, or nearly $8 billion, in inheritance tax.
This is a record amount not only in South Korea, but also one of the highest in the world.
Record Samsung inheritance tax – five years of repayments
The process of settling liabilities to the state took as long as five years. The family emphasized that paying taxes is a natural obligation of citizens.
To collect such huge funds, the heirs sold shares of related companies, used dividends and took out loans. It was a complex financial process that attracted market attention for years.
A fortune worth billions of dollars
The tax was levied on wealth estimated at about 26 trillion won, or more than $17 billion. It included shares in companies, real estate and a unique collection of works of art.
Part of the collection – including works by artists such as Claude Monet Whether Pablo Picasso – was donated to public institutions in Korea.
The family also decided to donate approximately 1 trillion won to support the health care system.
The highest tax rates in the world
South Korea is one of the countries with the highest inheritance taxes. The rate there is as much as 50 percent, which significantly affects the method of inheritance of large estates.
The amount paid by the family was approximately 150 percent. total state revenues from inheritance tax in one year, which shows the scale of the entire operation.
Samsung retained control of the company
The market was afraid that the need to repay such a huge tax would lead to the founding family losing control over the company.
Ultimately, the current president Lee Jae-yong (also known as Jay Y. Lee) maintained its position by financing its share of liabilities mainly from dividends and loans.
This story shows how important inheritance taxes are for global giants and how they can influence the future of the world’s largest technology companies.
