1. The instant lawsuit shall be dismissed.

2. Of the litigation costs, 98% is assessed against the Plaintiff, and the remainder is assessed against the Defendant, respectively.

1. Details of the disposition;

A. The Plaintiff is a company that runs the electric generation business with six electric power plants, such as the Boli-powered power plant.

B. On April 201, pursuant to Articles 87 and 89 of the former Local Tax Act (amended by Act No. 10924, Jul. 25, 2011), the Plaintiff reported and paid local income tax (corporate tax) for the year 2010 to the Defendant having jurisdiction over the location of the Boan Power Plant, by applying the proportional distribution ratio calculated based on the number of employees of each power plant and other power plant, total floor area of the building, and the proportional distribution ratio calculated based on the total floor area of the building. On April 2012, the Plaintiff reported and paid local income tax (corporate tax) for the year 201.

C. Meanwhile, the Plaintiff filed a lawsuit against the Defendant on February 3, 2016, alleging that there was an error in calculating the total floor area of the building for the place of business of the Boan power plant with respect to the imposition of the business office tax (including additional tax) to be imposed on the Plaintiff in 2007, which the Defendant filed a lawsuit seeking revocation of the said disposition (hereinafter “related cases”), and the court of first instance (Seoul District Court 2013Guhap1340) rendered judgment in favor of the Plaintiff.

On April 5, 2016, the defendant issued a payment notice of KRW 217,133,930 (including additional tax) of omitted tax amount, reflecting the total floor area of the building in the 2010s by the Bohyeong power plant and other places of business, which was recognized in the judgment of the first instance court of the relevant case.

(E) (hereinafter “Disposition of imposition in 2010”). (e) The appellate court of the relevant case (Seoul High Court 2016Nu10518) rendered a judgment partially amending the first instance judgment on January 26, 2017. On April 10, 2017, the Defendant re-calculated the local income tax (including the portion of corporate tax) for the year 201 by reflecting the total floor area of buildings in the 2011 and other places of business recognized in the said appellate court judgment (hereinafter “Disposition of imposition in 2011”). (f) The Plaintiff and the Defendant appealed against the appellate court judgment of the relevant case, but the Supreme Court (No. 2017Du36731) appealed on April 10, 2017.