Basketball Player Ra Gun-ah Wins First-Instance Ruling in 400 Million Won Tax Dispute Against KCC

[Financial News] Ra Gun-ah, a foreign player for professional basketball team Daegu KOGAS Pegasus, has won a lawsuit concerning comprehensive income tax filed against his former team.
According to legal sources on the 18th, Presiding Judge Ahn Dong-cheol of Civil Division 906 at Seoul Central District Court ruled that Ra Gun-ah had prevailed in a damages lawsuit he filed against KCC.
The court did not disclose the specific reasons for its ruling.
Through his legal representative, Ra Gun-ah said that day, "I had no choice but to go through litigation to reclaim my rights, which had been unfairly violated," adding, "It may have taken some time, but this was the only natural outcome."
He continued, "I sincerely thank all the basketball fans, my family, and officials of my club who believed in me and sent their support and encouragement. Now that I can put my mind at ease, I will repay your expectations and support by giving my best on the court."
The dispute began over who should bear approximately 398 million won in comprehensive income tax incurred from January to June 2024, when Ra Gun-ah was with Busan KCC.
At a board meeting in May 2024, the Korean Basketball League (KBL) terminated Ra Gun-ah's naturalized-player contract and switched him to a standard foreign-player contract. However, it resolved that the team that ultimately signed him would bear his income tax for that year.
As a result, Daegu KOGAS Pegasus was required to pay the tax after signing Ra Gun-ah. However, Ra Gun-ah paid the tax himself and filed a lawsuit in November last year, arguing that KCC, the other party to the contract, should bear the cost.
In January this year, KBL imposed a 30 million won penalty on Daegu KOGAS Pegasus for failing to implement the board's resolution. In May, ahead of the deadline for registering players for the 2026-2027 season, it withheld Ra Gun-ah's registration and stripped Daegu KOGAS Pegasus of its first-round pick in the domestic rookie draft.
In response, Ra Gun-ah and Daegu KOGAS Pegasus filed for a provisional injunction against KBL, including a request to suspend the effect of the player-registration hold. The court granted the request on the 4th.

[email protected] Choi A-young Reporter