Whether the business registration certificate issued by the value-added tax-exempt business operator is subject to business registration under Article 5 (1) of the Value-Added Tax Act.

In full view of the purport of each provision regarding business registration, the person liable for registration under Article 5 (1) of the Value-Added Tax Act is limited to the person liable for registration of the value-added tax and the person liable for registration of the value-added tax is not liable for registration. Thus, the term "registration under Article 5 (1)" under Article 17 (2) 5 of the Value-Added Tax Act means only the business registration of the person liable for registration of the value-added tax, and even if a business registration certificate stating the term "for the tax-exempt person" is issued after the person liable for registration of the value-added tax files an application for registration of the business, it can be viewed as either the business

Articles 5 (1) and 17 (2) 5 of the Value-Added Tax Act

[Plaintiff-Appellant-Appellee] Plaintiff 1 and 1 other (Law Firm Gong1, 1984, 1373, Counsel for plaintiff-appellant-appellee)

Plaintiff 1 et al., Counsel for the defendant-appellant-ho

The Head of Namdong Tax Office

Seoul High Court Decision 94Gu30821 delivered on May 18, 1995

All appeals are dismissed.

The costs of appeal are assessed against the plaintiffs.

We examine the Plaintiffs’ grounds of appeal.

Article 5 (1) of the Value-Added Tax Act provides that a person who newly starts a business shall register with the Government within 20 days from the date of commencing the business under the conditions as prescribed by the Presidential Decree. Article 2 of the same Act provides that a person who supplies goods or services independently for a business regardless of the existence of profit-making profit shall be liable to pay the value-added tax under this Act. Under Article 20 (3) of the same Act and Article 8 of the Enforcement Decree of the same Act and Article 67 (1) of the same Act, the chief of the competent district tax office may grant a unique number equivalent to the registration number to a tax-exempt business operator to efficiently handle taxation data. Article 197-2 (1) of the Income Tax Act provides that a person who newly starts a business shall register with the Government under the conditions as prescribed by the Presidential Decree. Considering the purport of the above provisions related to the business registration, since a person liable to pay the value-added tax is limited to a person liable to pay the value-added tax and there is no duty to register the value-added tax.

The judgment of the court below to the same purport is just and there is no error of law by misapprehending the legal principles as to business registration under the Value-Added Tax Act, such as theory of lawsuit. The theory that the opinion as the above judgment of the party members should be modified cannot be accepted as it is without merit

There is no reason to discuss this issue.

Therefore, all appeals are 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 on the bench.

Justices Cho Chang-tae (Presiding Justice)