(a) Date commencing the extinctive prescription of right to impose and collect transfer income tax;

(b) Whether the preliminary and final return of income tax base constitutes grounds to suspend extinctive prescription of the right to impose and collect capital gains tax;

(a) The tax authority may impose and collect capital gains tax on capital gains from the date from the date following the expiration date of the final return on the tax base, and the extinctive prescription is proceeding.

B. Even if a taxpayer has made a preliminary and final return of income tax base, such cause cannot be a legal obstacle to preventing the progress of extinctive prescription of the right to impose and collect capital gains tax.

Article 100 (1) of the Income Tax Act, Article 27 of the Framework Act on National Taxes

Supreme Court Decision 84Nu572 Decided December 26, 1984, 86Nu651 Decided May 12, 1987

Plaintiff

Head of Yeongdeungpo Tax Office

Seoul High Court Decision 86Gu336 decided Nov. 17, 1987

The appeal is dismissed.

The costs of appeal shall be borne by the defendant.

The grounds of appeal are examined.

In light of the records, the court below duly admitted the fact that five persons, including the plaintiff and the non-party, in accordance with its adopted evidence, purchased the land of this case jointly from non-party 1 on September 8, 197, and sold the housing site creation work to non-party 2, who is a housing construction business operator on July 23, 1978 (the purchase price shall be reduced to KRW 131,174,400,000, including the down payment and the three intermediate payments, up to August 11 of the same year, as shown in its decision, and there is no violation of the rules of evidence by violating the rules of evidence.

Therefore, the transfer time of the land in this case under Article 27 (1) of the former Income Tax Act, which was enforced at the time, shall be July 26, 1978 when the first intermediate payment was received, and the expiration date of the final return on the tax base shall be May 31, 1979 pursuant to Article 100 (1) of the same Act. Thus, the defendant, who is the tax authority, can impose and collect the transfer income tax on the above transfer income from the next day, and the extinctive prescription of the right to impose and collect the transfer income tax shall run from this time. Although the plaintiff deemed the above transfer income to belong to the portion of 1981 and made a final return, such a reason shall not be a legal obstacle to preventing the extinctive prescription of the right to impose and collect the transfer income tax in this case (see Supreme Court Decision 86Nu651 delivered on May 12, 1987).

In the same purport, the court below is just in holding that the right to impose and collect the transfer income tax of this case was extinguished due to the completion of prescription and there is no violation of law.

Therefore, the appeal is dismissed, and the costs of the appeal are assessed against the losing party. It is so decided as per Disposition by the assent of all participating Justices.

Justices Kim Jong-sik (Presiding Justice)