All appeals are dismissed.

The costs of appeal are assessed against the Defendants.

The grounds of appeal are examined.

Article 81-4 of the former Framework Act on National Taxes (amended by Act No. 11604, Jan. 1, 2013; hereinafter the same) provides that "tax officials shall conduct a tax investigation to the minimum extent necessary to realize proper and fair taxation, and shall not abuse their right of investigation for any other purpose, etc." under paragraph (1). Meanwhile, Article 81-4 of the same Act provides that "no re-investigation shall be conducted for the same tax item and the same taxable period unless it falls under any of the following subparagraphs, unless re-investigation is permitted." Thus, re-investigation for the same tax item and the same taxable period

In light of such provisions and the purport thereof, “where there is clear evidence to prove the suspicion of tax evasion” under Article 81-4(2)1 of the former Framework Act on National Taxes, which stipulates that a reinvestigation is exceptionally permitted, should be limited to cases where the probability of the fact of tax evasion is recognized to a considerable extent based on objective and reasonable data.

Therefore, even if a tax official reports a tax evasion to a tax official, it is difficult to deem that the above re-audit is permitted solely on the ground that the information is specific, unless the information is based on objectivity and rationality materials to support the notification of tax evasion to the extent that it is highly likely to cause tax evasion.

(See Supreme Court Decision 208Du10461 Decided December 23, 2010, and Supreme Court Decision 2008Du1146 Decided May 26, 201, etc.). In full view of the adopted evidence, the lower court acknowledged the facts as indicated in its reasoning. Of the instant secondary tax investigation, the part on value-added tax from January 2008 to January 201, 201 and the global income tax from 2007 to 2010 (hereinafter “instant re-audit part”) on global income tax from 2007 to 2010 are the primary tax investigation of the instant case and the tax items and taxable periods subject to the said tax investigation.