Article: http://blogs.wsj.com/korearealtime/2012/09/07/eu-business-lobby-shu...

I am surprised, shocked and disappointed by this news.

Not only by the "Proud to be Korean - Korea, pure race, pure county" comment on the article...

Even though I never got to read any of their publications, from what I know about the EUCCK they were sure a valuable source and network for European companies here! What do you think?

Anyone knows more from an insiders perspective?

Article:

By In-Soo Nam

The European Union Chamber of Commerce in Korea, one of the largest foreign business lobby groups in Seoul, on Thursday decided to close its office and liquidate.

Bloomberg News

The move is a surprise, coming at a time when bilateral trade between South Korea and Europe has been rising rapidly since a free trade deal between the two sides took effect in July last year.

Behind the decision is a dispute with South Korea’s tax authority, the National Tax Service, over the identity of the body.

Early this year, the tax office slapped the EUCCK with 2.6 billion won ($2.2 million) in overdue taxes and 1.9 billion won in fines for its failure to pay taxes for advertising revenue in a magazine it publishes and distributes to more than 800 members for free.

A chamber official said the EUCCK argues it was classified as “an entity without legal personality,” which doesn’t require the reporting of such revenues for taxation–a claim rejected by the tax office.

“Hardly anyone who was present at the chamber’s general meeting yesterday opposed closure and liquidation. Many agreed there were problems with this organization’s identity and with accounting transparency,” said the official, who asked not to be identified.

He said the chamber has already paid the 1.9 billion won penalty and plans to pay the rest in due course.

The move leaves EU-based companies with no single voice in Korea, but the officials said firms operating in Korea will likely seek to create a new representative body with a clear legal identity.