2. The costs of lawsuit shall be borne by the Plaintiff.

A. On December 30, 2002, the Plaintiff acquired 116,000,000 ○○○○ apartment (hereinafter “the apartment of this case”) from ○○○○○-dong, ○○○○-dong, ○○○○○-dong, ○○○○○-dong, and transferred the apartment of this case to ○○○○-dong on December 30, 2002. The Plaintiff paid KRW 4,102,640,640 on February 20, 200 in accordance with the approval seal agreement (hereinafter “the approval seal agreement of this case”). < Amended by Presidential Decree No. 116, Feb. 20, 2003; Presidential Decree No. 160,000,000; Presidential Decree No. 160, Feb. 26, 2003>

B. On-site investigation, the Defendant recognized the Plaintiff’s transfer value of 328,000,000 won for the Plaintiff’s ○○○○○○, and calculated the transfer margin based thereon, and notified the Plaintiff of the transfer income tax for 2002 as KRW 36,110,110 on January 5, 207 (hereinafter the instant disposition).

C. On January 16, 2007, the Plaintiff appealed to the National Tax Tribunal, but was dismissed on April 11, 2007.

[Reasons for Recognition] Uncontentious Facts, Gap 1,2,6,10 Evidence, Eul 1,2,4,6 (including each number), the purport of the whole pleadings

2. Whether the disposition is lawful.

A. The plaintiff's assertion

(1) The Plaintiff purchased the instant apartment from ○○○○○○○○-dong ○○○○○○○○○-dong ○○○○○○○○○○-dong 273.9 square meters of the above ground and 913.6 square meters of the above ground (hereinafter “the instant building”), instead of paying an intermediate payment of KRW 400,00,000, an intermediate payment, transferred the instant apartment and the instant apartment and the instant apartment and the instant apartment and the instant apartment and the instant apartment and the instant apartment and the instant apartment and the instant apartment and the ○○○○-dong ○○○○○○-dong ○○○○○-dong ○○○○○○○○○-dong ○○○○○○○○○-dong ○○○○○○, and thereafter, sold the instant apartment again to ○○○○○○-○○○-dong ○○. In that process, the Plaintiff only sold the instant apartment and received the price therefor.

(2) The Plaintiff transferred the instant apartment to Kim○○, but its transfer value is unclear, and thus, should have reported its transfer and acquisition value at the original standard market price. However, the Plaintiff initially prepared the transfer amount under the seal of approval agreement of this case, thereby falsely reporting transfer margin. If the reported value is not verified as the actual transaction value, the transfer margin should be calculated based on the standard market price. As such, the Plaintiff’s disposition of this case was unlawful by misapprehending that the transfer price between Kim○ and Do○○ was the actual transaction price between the Plaintiff and Do○○○.

(b) Related statutes;

It is as shown in the attached Form.

C. Determination

(1) According to Article 96 (1) 1 (a) of the former Income Tax Act, the transfer value or acquisition value of land shall be based on the standard market price at the time of transfer or acquisition of the relevant property: Provided, That where the relevant land falls under any of the subparagraphs of Article 96 (1) of the same Act, it shall be based on the actual transaction price. Of these, subparagraph 6 of the same Article stipulates, "any exceptional case which can be based on the actual transaction price, and where the transferor reports the actual transaction price at the time of transfer or acquisition to the head of the district tax office having jurisdiction over the place of tax payment by the due date for final return along with evidential documents." Article 114 (2) and (4) of the same Act provides that where there is an omission or error in the return of the person who made the preliminary return under Article 105 or the person who made the final return under Article 110, the transfer income tax base and tax amount shall be revised based on the value under Articles 96 and 97, but the transfer value of the relevant land shall not be determined by the actual transaction price.

(2) The following facts can be acknowledged by comprehensively taking account of the following facts: Gap evidence No. 3,4,9,11, Eul evidence No. 3,5, and Eul evidence No. 3,5, and Eul evidence No. 7; and Eul evidence No. 5 alone lacks to reverse the recognition.

(A) On November 19, 2002, the Plaintiff purchased the instant building from Kim○○○ at KRW 1,80,000,000,000 for the sales price of KRW 100,000 for the intermediate payment of KRW 1,300,000 for the intermediate payment of KRW 1,300,000 on the date of the contract, respectively, on December 25, 2003, while the Plaintiff paid KRW 125,00,000 for the intermediate payment of KRW 40,000 for the remainder payment of KRW 30,00 for the day of the contract. However, since the Plaintiff did not have cash at the time, the difference between the sales price of the instant apartment and KRW 125,00,00 for the deposit for lease on a deposit basis and KRW 180,000 for the intermediate payment of KRW 180,000 for the sales price of the instant apartment.

(B) On December 30, 2002, the Plaintiff and Kim○○ issued the instant apartment as a substitute to the real estate brokerage office. around December 2002, Kim○○ sold the instant apartment to Do○○○○○ in the form of a brokerage office, with the Plaintiff’s consent, at KRW 328,00,000, the obligation to return the deposit amount of KRW 125,000,000 for a deposit on a deposit basis is to be succeeded by ○○○○. In other words, the Plaintiff was paid the down payment of KRW 30,000 for a down payment of KRW 173,00,000. On December 30, 2002, the Plaintiff attended at the time of receiving the remainder of KRW 173,00,000 from Do○○○○○○, and affixed a seal on December 9, 2002 on the sales contract made up of KRW 328,00,000 for the intermediate payment.

(C) On December 31, 2002, the apartment of this case was registered under the name of ○○○○, and on January 2, 2003, the apartment of this case was registered under the name of ○○○, the Bana, Kim○, Kim○, the Bana, Kim○ on January 2, 2003, and on May 1, 2003, each transfer of ownership was registered under the name of ○○,

(D) In the case of the same flat-type apartment in the same Dong as the instant apartment, the lower limit of sale is 270,000,000 won from December 5, 2002 to January 5, 2003, the upper limit of sale is 350,000,000 won for the sale, and the average price is 310,000,000 won for the sale.

(3) The plaintiff Kim

Since the apartment of this case was transferred to ○○○ by the intention of accord and satisfaction, only the registered name is owned without intentionally transferring the right to dispose of it to ○○○○○, without intentionally registering the ownership transfer, if the last Kim○○○ sells it to a third party and then completing the registration of ownership transfer by direct omission, this would violate the obligation of real-name registration as required by the Act. As so alleged by the Plaintiff, even if the remainder, which remains after deducting the deposit amount of KRW 125,00,00 from the market price of the apartment of this case, is de facto final and conclusive, the transfer value of the apartment of this case is not 20 million won, but also 325,00,000,000,000, which is the sum of the deposit amount returned to ○○○○○○ by Kim○○’s transfer of the apartment of this case’s actual apartment of this case’s purchase and sale to 00,000,000 won, which is the most important part of the purchase and sale contract.

(4) As to the sale of apartment of this case, 160,000,000 won, which the Plaintiff reported as the initial actual transaction price, is different from the fact, and later, 328,00,000 won, which is the actual transaction price by the Defendant, is confirmed, the Defendant’s disposition against which the transfer income tax was imposed on the said actual transaction price

3. Conclusion

The plaintiff's claim is dismissed on the ground that it is without merit.

Related Acts and subordinate statutes

[The former Income Tax Act (amended by Act No. 6781 of Dec. 28, 2002)] Article 96 (Transfer Price)

(1) The transfer value of assets referred to in subparagraphs 1 and 2 of Article 94 shall be based on the standard market price at the time of transfer of the assets concerned: Provided, That where the assets concerned fall under any of the following subparagraphs, it shall be based on the actual transaction price: < Amended by Act No. 6777, Dec

5. Where real estate is acquired or transferred by unlawful means, such as preparation of a false contract or a false transfer of resident registration, which meets the criteria as prescribed by the Presidential Decree.

6. Where the transferor reports the actual transaction price at the time of transfer and acquisition to the head of tax office having jurisdiction over the place of tax payment by the deadline for final return under Article 110 (1), together

[Calculation of Necessary Expenses in Transfer Income] Article 97 of the former Income Tax Act (amended by Act No. 6781 of Dec. 28, 2002)

(1) In the calculation of gains on transfer of a resident, necessary expenses to be deducted from the transfer value shall be as follows: < Amended by Act No. 5031, Dec. 29, 1995; Act No. 6043, Dec. 28, 1999>

1. Acquisition value:

(a) In case of assets as prescribed in Article 94 (1) 1 and 2, the standard market price at the time the assets are acquired: Provided, That in case where the assets concerned fall under any of subparagraphs of Article 96 (1), it shall be based on the actual transaction price required for the acquisition of such assets;

(b) In case of assets listed in Article 94 (1) 3 and 4, the actual transaction price required for the acquisition of the relevant assets;

(c) In the case of the proviso of item (a) or (b), where it is impossible to confirm the actual transaction price at the time of acquisition, the value as determined by the Presidential Decree considering the value, etc. under Article

[1] Article 114 of the former Income Tax Act (amended by Act No. 7837 of Dec. 31, 2005) (amended by Act No. 7837 of Dec. 31, 2005)

(4) If the chief of the district tax office or the director of the regional tax office having jurisdiction over the place of tax payment determines or revises the tax base of transfer income and the amount of tax under paragraphs (1) through (3), he shall determine or correct the tax base of transfer income and the amount of tax under Articles 96 and 97: Provided, That in case where the resident makes the preliminary return or the final return on the tax base of transfer income under Articles 96 (1) 6 and 97 (1) 1 (a) (proviso), and if the returned value is different from the fact, and if the head of the district tax office having jurisdiction over the place of tax payment or the

(5) In the application of the provisions of paragraph (4), in case where the transfer value or acquisition value is based on the actual transaction value, and where it is impossible to recognize or confirm the actual transaction value at the time of transfer or acquisition of the relevant assets by the account books or other documentary evidence on the grounds as prescribed by the Presidential Decree, the transfer value or acquisition value may be determined or corrected by the estimated survey based on the transaction example value, appraisal value, conversion value (referring to the acquisition value converted by the actual transaction value, transaction example