THE owner family of Samsung Group has completed the payment of 12 trillion won ($8 billion) in inheritance taxes over five years, marking the largest such settlement in South Korea’s history while further tightening its control over the conglomerate.

The family’s wealth has more than doubled amid an AI-driven semiconductor rally, allowing it to meet the tax burden without large-scale disposals of core holdings.

The conglomerate confirmed the final payment on Sunday, noting the sum is equivalent to roughly 50 percent of the government’s total inheritance tax revenue for 2024.

Chairman Lee Jae-yong and other family members — including his mother, Hong Ra-hee, and sisters Lee Boo-jin and Lee Seo-hyun — paid the tax in six installments under a deferred payment programme after filing in April 2021. The bill stemmed from the estate of late Chairman Lee Kun-hee, valued at around 26 trillion won, including shares, real estate and art collections.

At the time, the family described paying the tax as a “natural duty of citizens” and pledged full compliance. The settlement comes against the backdrop of a sharp surge in the group’s valuation, driven by booming demand for AI memory chips.

According to the Bloomberg Billionaires Index, the Lee family’s combined net worth rose to about $45.5 billion as of March, more than doubling from roughly $20.1 billion a year earlier. The jump lifted the family to Asia’s third-richest, up from 10th, while Lee Jae-yong’s personal fortune climbed to $26.9 billion.

The rally has been fueled by a sharp rise in semiconductor demand, lifting Samsung Electronics on the strength of its memory business. Shares have surged 126pc over the past year — their strongest performance in more than two decades.

Samsung’s weight in the domestic economy has expanded in tandem. Combined revenue at seven key affiliates accounted for 19.3pc of South Korea’s gross domestic product last year, up from 15.1pc a decade earlier, while Samsung Electronics alone represents about a quarter of the Kospi’s market capitalisation. As of Thursday, the Kospi stood at 6,598.87, nearing the 6,600 level, while Samsung Electronics traded at 220,500 won.

The market rally has enabled the family to meet its tax obligations while preserving — and in some cases increasing — its holdings in key affiliates.

Hong and her two daughters sold stakes in affiliates, including Samsung Electronics, Samsung SDS and Samsung C&T, and entered stock trust agreements to help finance the payments.

Lee Jae-yong largely avoided selling shares in core units, relying instead on dividends and personal loans while reinforcing control centered on Samsung C&T, the group’s de facto holding company.

His stake in Samsung Electronics common shares has risen to 1.67pc from 0.70pc prior to the inheritance. His holding in Samsung C&T increased to 22.01pc from 17.48pc, while his stake in Samsung Life Insurance climbed to 10.44pc from 0.06pc. Separately, the family has expanded its philanthropic efforts in line with Lee’s legacy. In 2021, it pledged 700 billion won to the National Medical Center to build a 150-bed infectious disease hospital in central Seoul by 2030, combining treatment, training and research, according to Samsung. Another 300 billion won was donated to Seoul National University Hospital for pediatric cancer and rare disease care, benefiting about 28,000 patients as of end-2025.

The family also made one of Korea’s largest cultural donations, giving more than 23,000 artworks — including national treasures — to the state. The collection, once valued at up to 10 trillion won, has since boosted museum attendance. A total of 35 exhibitions at major venues, including the National Museum of Korea and the National Museum of Modern and Contemporary Art, drew a combined 3.5 million visitors from 2021 to 2024, Samsung said.

Published in Dawn, May 4th, 2026