If a certificate of tax payment as prescribed in Article 21 of the National Tax Collection Act is not submitted, the State may refuse the payment of the price.

If a certificate of tax payment under Article 21 of the former National Tax Collection Act (Act No. 1961, Nov. 29, 207) is not submitted, the State may refuse to pay the price.

Article 21 of the National Tax Collection Act

Plaintiff

Korea

Seoul High Court Decision 72Na245 decided June 21, 1972

The appeal is dismissed.

The costs of appeal shall be borne by the plaintiff.

The Plaintiff’s attorney’s ground of appeal is examined.

Article 21 subparagraph 1 of the National Tax Collection Act provides that when a contract is entered into with the State, a public organization, or a government management agency and receives a payment of the price, it shall submit a certificate of full payment of the tax or a certificate of deferment of collection as prescribed by the Cabinet Order. Article 14 subparagraph 21 of the Enforcement Decree of the same Act provides that if the price under Article 21 subparagraph 1 of the same Act is to be paid to all creditors other than the original contractor in accordance with an assignment order of the court, both the debtor and the execution creditor shall submit a certificate. The purpose of the above provision is to secure national tax revenue. Thus, the National Tax Collection Act aims to provide a certificate of partial payment of the price in accordance with the assignment order in order to secure the priority of national tax collection, if the price is paid to both the creditor (the initial contractor) and the whole creditor, it is more reasonable and reasonable to collect the payment of the price in arrears than that of other claims, and therefore, it is reasonable to interpret that the court below's submission of a certificate of full payment to the court of fact-finding is justified.

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.

Supreme Court Judge Park Jae-chul (Presiding Judge) (Presiding Judge) Do-dong Do-Japon