Bakery cafe boom puts South Korea’s family business tax break under scrutiny

The rise of oversized, "nominal" bakery cafes in South Korea has triggered a government crackdown on inheritance tax loopholes. Authorities are concerned that wealthy families are using these sprawling venues—which often function more as real estate hedges than functional bakeries—to qualify for billions of won in tax deductions designed for genuine family-run small businesses. This comes as South Korean tech and finance leaders increasingly emigrate to Singapore to avoid heavy inheritance taxes that can reach up to 60%.