A. Purport of Article 142 (1) 1 and 7 of the former Enforcement Decree of the Local Tax Act (amended by Presidential Decree No. 12028 of Dec. 31, 1986)

(b) Purpose of Article 11(2) of the Industrial Placement Act;

A. The purpose of Article 142 (1) 1 Item 7 of the former Enforcement Decree of the Local Tax Act (amended by Presidential Decree No. 12028 of Dec. 31, 1986) is to stipulate that a corporation shall, in principle, be deemed land for non-business use of the corporation, which is not used directly for its proper purpose without any justifiable reason. However, even if a corporation does not use directly for its proper purpose, land listed in the proviso shall not be deemed land for non-business use of the corporation. Thus, regardless of the above proviso, land (business use of the corporation) used directly for its proper purpose is always excluded from land for non-business use of the corporation, so there is no room to apply Article 75-2 of the former Enforcement Rule of the Local Tax Act (amended by Ordinance of the Ministry of Home Affairs No. 452 of Dec. 31, 1986) which was enacted based on the provisions of the proviso of the above proviso

B. According to Article 11(2) of the Industrial Placement Act, in a case where a corporation’s land for business is used for its proper purpose, and there are parts corresponding to excessive land pursuant to the above Act, even if the corporation’s land for business is used for its proper purpose, the portion shall be heavy taxation on the corporation’s land for non-business use pursuant to Article 188(1)3 of the former Local Tax Act (amended by Act No. 3878 of Dec. 31, 198

Article 142(1) of the former Enforcement Decree of the Local Tax Act (amended by Presidential Decree No. 12028, Dec. 31, 1986); Article 75-2 of the former Enforcement Rule of the Local Tax Act (amended by Ordinance No. 452, Dec. 31, 1986); Article 11(2) of the Industrial Placement Act; Article 12(1) of the Enforcement Decree of the Industrial Placement Act; Article 188(1) of the former Local Tax Act (amended by Ordinance No. 3878, Dec. 31, 1986)

[Defendant-Appellant] Jeon Jong-gu, Counsel for defendant-appellant

Attorney Lee Jae-won, Counsel for the plaintiff-appellant

Gwangju High Court Decision 83Gu136 delivered on June 11, 1985

The appeal is dismissed.

The costs of appeal are assessed against the defendant.

We examine the grounds of appeal.

Article 142 (1) 1 and 7 of the former Enforcement Decree of the Local Tax Act (amended by the Presidential Decree No. 12028 of Dec. 31, 1986) provides that a corporation shall, in principle, be deemed land for non-business purposes of the corporation, or that land listed in the proviso shall not be deemed land for non-business purposes of the corporation even if it is not used directly for its proper purposes, so the court below's conclusion that the land for non-business purposes of the corporation is always excluded from land for non-business purposes of the corporation under the proviso of Article 142 (1) 2 of the former Enforcement Decree of the Local Tax Act (amended by the Presidential Decree No. 12028 of Dec. 31, 1986) because it is nothing more than the above proviso of Article 85-1 of the former Enforcement Decree of the Local Tax Act (amended by the Ministry of Home Affairs No. 452 of Dec. 31, 1986).

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

Justices Choi Jae-ho (Presiding Justice)