The era of 10,000 tax trials... Large law firms take ‘swift steps’ in strengthening tax group

Market changes such as family business succession and creator taxation
‘Reactive response’ → ‘Pre-design’ paradigm shift

As the tax legal market is rapidly changing, major domestic law firms are actively working to strengthen their tax groups. This move is due to an increase in demand for tax-related laws, including an increase in the number of tax trials being processed.

According to the Tax Tribunal on the 1st, the number of tax trials processed since 2018 has exceeded 10,000 for seven consecutive years. The number of companies receiving family business inheritance deductions also more than doubled from 88 in 2019 to 188 in 2023. The analysis is that as the succession of family businesses and assets increases and the taxation system for new businesses such as the creator economy and platform business becomes more complex, the demand for professional legal responses such as tax appeals and correction claims has increased.

The top 10 large law firms are focusing on strengthening their capabilities by recruiting experts and reorganizing their organizations in line with the evolving market and client needs.

On the 20th, Shin & Sejong Law Firm recruited Seoul National University Law School Professor Lee Chang-hee, foreign lawyer Jang Maria, and customs expert Kim Tae-hoon. Attorney Jang is an expert qualified to be both a certified public accountant and a New York State attorney. Yulchon Law Firm also appointed lawyers Jeon Young-jun and Kim Geun-jae as co-heads of the tax group in February and began preparing responses to rapid market changes such as global tariff conflicts and corporate tax investigations.

Last month, Daeryun Law Firm carried out an organizational reorganization that separated the tax administration group into a tax group and an administrative group. The plan is to provide precise customized legal solutions by maximizing expertise in each field. Attorney Kwak Nae-won, who served as a judge at the Seoul Administrative Court, will lead the administrative group, and attorney Kang Seong-kwon, who worked at the Seoul Regional Tax Office and has a deep understanding of overall national tax administration, will lead the tax group.

Attorney Kang explained, "As the paradigm of the tax legal market has changed from 'reactive response' to 'pre-planning', customer requirements have diversified. In the past, people would only seek out a lawyer after receiving an unfair taxation notice, but recently, there has been an increase in cases of seeking the optimal structure without risk."

He continued, “Tax cases require a complex understanding of accounting and management perspectives, so comprehensive assistance is needed, including lawyers, accountants, and tax experts,” and added, “We will be a reliable assistant throughout the entire process from the tax investigation stage to tax litigation to ensure that the client does not receive unfair tax treatment.”

[View full article]
The era of 10,000 tax trials... Large law firm takes 'step forward' in strengthening tax group (Shortcut)