Among them, the corporate tax portion for the business year 2011 and 2012 is reversed, and this part of the case is to Seoul High Court.

1. As to a request for revocation of a disposition rejecting corporate tax in the business year 2011 and 2012

A. Article 57(1)1 of the Corporate Tax Act provides for a method of deducting the amount of foreign corporate tax from the amount of corporate tax for the business year concerned, where any foreign source income is included in the tax base of a domestic corporation for each business year, and where there is any foreign corporate tax paid or payable on such foreign source income, the amount of foreign corporate tax may be

In addition, Article 57 (3) provides that the amount equivalent to the tax amount reduced or exempted on the relevant foreign source income in the other country of the tax treaty shall be the foreign corporate tax amount to be deemed the foreign corporate tax amount subject to the said tax credit within the scope prescribed by the relevant tax treaty.

It is specifically stipulated in the individual treaty regarding the tax credit deemed paid abroad.

The Agreement between the Government of the Republic of Korea and the Government of the People’s Republic of China for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income (hereinafter “Korea-China Tax Treaty”) concluded in 1994 had the same provisions under Article 23(3). However, the Agreement between the Government of the Republic of Korea and the Government of the People’s Republic of China for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income concluded

) Article 5(1) of the Act (hereinafter “instant provision”) replaced by another provision.

According to the provisions of this case, the taxes paid by one Contracting Party referred to in Article 23(1) (Article 4 of the Protocol No. 2) of the Korea-China Tax Treaty shall be deemed to include taxes that would have had been paid if there had been no provisions relating to the reduction, exemption, or other tax incentives for the promotion of economic development.

For the purposes of this paragraph, Section 2 of Article X.