A written notice of tax payment to a person who is confined in a prison shall be served upon his/her domicile, and shall not be served upon the warden of the prison.

As a tax notice has been sent by registered mail but a tax notice has been returned, it is legitimate to serve a tax notice by public notice for the reason that it is difficult to serve a tax notice by the payment deadline, and the service of a tax notice to a person who is confined in prison shall be served at his/her domicile and shall not be obliged

Article 8 of the Framework Act on National Taxes, Article 10 of the Framework Act on National Taxes

Article 7-2 of the Enforcement Decree of the Framework Act

2012Guhap14552 Invalidity of the imposition of value-added tax

XX

Head of Yongsan Tax Office

August 14, 2012

September 14, 2012

1. The plaintiff's claim is dismissed.

2. The costs of lawsuit shall be borne by the Plaintiff.

On December 3, 2004, the Defendant confirmed that each disposition imposing value-added tax of KRW 000, the total amount of KRW 1 year 2000, KRW 2000, KRW 1 year 2001, KRW 0000, and KRW 000, which was 2 years 2001, is null and void.

1. Details of the disposition;

A. On December 3, 2004, the Defendant imposed a value-added tax of KRW 000 on the Plaintiff on the ground that the Plaintiff, along with other parties, lent the name of the LW Comprehensive Construction (hereinafter referred to as "GG Construction") and carried out the sales agency business of commercial buildings, sports centers, kindergartens, etc. in the redevelopment apartment complex of the redevelopment apartment complex of the redevelopment redevelopment redevelopment redevelopment redevelopment redevelopment complex of the new housing complex, and omitted the output tax amount equivalent to the amount of the fees received as the service charges.

B. At the time of the instant disposition, the Defendant attempted to serve a tax payment notice (the payment notice of this case on December 31, 2004; hereinafter referred to as the "payment notice of this case") by registered mail with "Seoul Yongsan-gu Dong 744-13" (hereinafter referred to as "the domicile of this case"), which is the Plaintiff's resident registration address, but the above payment notice was not served on the Plaintiff with his address address address address address address address address." On December 24, 2004, the Defendant served each of the Plaintiff's payment notice of value-added tax on January 14, 2005 at the same time as the Plaintiff extended on January 14, 2005 (amended by Act No. 8139 of Dec. 30, 2006; hereinafter the same) Article 11 (1) 3 of the Framework Act on National Taxes and Article 7-2 subparagraph 1 of the Enforcement Decree of the same Article (amended by Presidential Decree No. 22038 of Feb. 18, 2010).

D. On October 5, 2009, the Defendant seized 21,000 shares of O-mixed Co., Ltd. owned by the Plaintiff based on value added tax, etc. under the instant disposition.

E. The Plaintiff filed the instant lawsuit on May 7, 2012.

[Ground of recognition] Facts without dispute, Gap evidence 1, Eul evidence 1 (including a provisional number; hereinafter the same shall apply), 2, 4 through 6, the purport of the whole pleadings

2. Judgment on the plaintiff's claim

A. The plaintiff's assertion

The Defendant served the instant tax notice by deeming that the Plaintiff’s address is unclear; however, at the time, the Plaintiff was unable to receive the tax payment notice because of the fact that the Plaintiff was still at the place of residence of Seongdong-gu, and that the Defendant’s measure of serving the tax payment notice by serving the tax authority without searching his domicile separately and without promptly serving his domicile cannot be deemed as having fulfilled the duty of due care as a good manager. Accordingly, the instant tax payment notice service is invalid because it does not meet the requirements for service by public notice. Therefore, the instant disposition also becomes invalid.

B. Relevant statutes

It is as shown in the attached Form.

C. Determination

1) According to Article 10(1) and (2) of the Framework Act on National Taxes, a notice of tax payment shall be served by registered mail and delivered to taxpayers. Meanwhile, Article 11(1)2 of the Framework Act on National Taxes provides that the service of a notice of tax payment may be served by public notice in cases prescribed by Presidential Decree, such as where a person to receive a notice of tax payment is not in a place where his/her address or place of business is unclear, and where a person to receive a notice of tax payment is not in a place where a person to receive a notice of tax payment is unable to serve by registered mail but is returned due to his/her absence. Article 7-2 Subparag. 1 of the Framework Act on National Taxes provides that a notice of tax payment may be served by public notice upon delegation by Article 11(1)3 of the Framework Act

2) Examining the case’s return, ① the Defendant sent the instant tax payment notice by registered mail on December 3, 2004, but thereafter, it is deemed difficult to serve the Plaintiff’s tax payment notice by December 31, 2004 because the Plaintiff’s tax payment notice was returned under the Plaintiff’s name of address address, and thus, served the notice by public notice on December 24, 2004. As such, it appears that the requirements for service by public notice under Article 11(1)3 of the Framework Act on National Taxes and Article 7-2 subparag. 1 of the Enforcement Decree of the same Act are satisfied. ② As alleged by the Plaintiff, the tax authority’s duty to perform its duty is related to Article 11(1)2 of the Framework Act on National Taxes, such as searching the taxpayer’s domicile, and thus, the Defendant’s duty to perform its duty is irrelevant to the instant disposition based on Article 11(1)3 of the same Act. ③ Even if the Plaintiff was in prison at the time of serving the instant tax payment notice, the Plaintiff’s notice cannot be served to the prison warden.

3. Conclusion

Therefore, the plaintiff's claim is dismissed as it is without merit. It is so decided as per Disposition.