Fisherman pays tax on income made on Dokdo

Kim Seong-do holds a receipt of his value-added tax (VAT) payment at a tax office in Pohang, North Gyeongsang Province, Thursday. He paid 85,210 won VAT here on his income generated by running a cafe on Korea’s easternmost islets of Dokdo last year. / Yonhap

By Park Si-soo

Kim Seong-do, 76, a fisherman and self-employed businessman, paid tax on his income generated by running a cafe on Korea’s easternmost islets of Dokdo, tax authorities said Thursday.

Kim paid 85,210 won ($78.46) value-added tax (VAT) using his credit card at a tax office in Pohang, North Gyeongsang Province. Dokdo, to which Japan makes a sovereignty claim, is under the province’s control.

Kim generated nearly 25 million won last year by selling souvenirs at the cafe, according to the office. It was his second payment of VAT since the cafe opened in May 2013, the office said.

He paid 193,000 won in VAT with his first payment in January of last year.

“The number of visitors to my cafe was lower than expected. Perhaps it could be blamed for the Sewol accident,” Kim said, referring to a tragic ferry sinking that took place in waters off the southern coast of the Korean Peninsula in April. “But I feel proud of myself for being able to pay tax on income I made on the islets.”

Kim is the first Korean recognized as a resident on Dokdo. He makes a living fishing and operating the cafe.

“Kim is living evidence that Dokdo is Korea’s territory,” said Choi Jong-won, a director at the North Gyeongsang Province office dealing with maritime affairs. “I hope more people will visit Kim’s cafe.”