(a) A legitimate scheduled value-added tax return for a branch office registered as the main office and a separate business operator;

(b) Whether a report filed with the head office having jurisdiction over the head office, including the total tax base of the branch and the head office, constitutes a case where the report was submitted to the head office other than the head office having jurisdiction over the head office (negative)

A. If the Plaintiff Company submitted to the head of the competent district tax office the scheduled value-added tax return and the final return on the amount of tax payable based on the inclusion of the sales amount in the sales amount at a separate place registered as the head office and separately from the head office, the Plaintiff Company’s report cannot be deemed as the scheduled and final return of the branch office of the Plaintiff Company

B. The purport of the provision of Article 43(2) of the Framework Act on National Taxes is that in a case where a return meeting the requirements for declaration, which was prepared to distinguish the amount of tax payable, from those of other persons liable to report, is filed with the head of a tax office other than the head office, the effect of the return shall not be affected. Thus, the report filed with the head office having jurisdiction over the head office shall not be deemed to constitute a case where the plaintiff submitted the tax base return to the head office other than the head office.

(a) Articles 4, 5(b) of the Value-Added Tax Act, Articles 64 and 65 of the Enforcement Decree of the Value-Added Tax Act, and Article 43(2) of the Framework Act

Co., Ltd.

Head of North Busan District Tax Office

Daegu High Court Decision 83Gu295 delivered on March 20, 1984

The appeal is dismissed.

The costs of appeal are assessed against the plaintiff.

The grounds of appeal are examined.

A person who starts a business independently supplying goods or services shall register his business at each workplace (Article 5 of the Value-Added Tax Act), and the value-added tax is to be paid at each workplace (Article 4 of the same Act). The scheduled and final return of value-added tax is to be submitted to the head of each workplace (Article 64 and Article 65 of the Enforcement Decree of the same Act). As determined by the court below, the plaintiff company's scheduled and final return of value-added tax for sales at the Busan Branch whose business registration was made separately from its head office is included in the sales speed of its head office, and the tax amount to be paid on the basis thereof is submitted to the head office of Gangnam-gu, Seoul District Tax Office, the head office of which is the head office, shall not be deemed to be the scheduled and final return of the plaintiff company's Busan Branch whose business registration was made separately from its head office. The purport of the provision of Article 43 (2) of the Framework Act on National Taxes is that the return does not affect the effect of the return, which is not a legitimate head office of the head office of Busan District Tax Office.

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 Jeong Tae-tae (Presiding Justice)