Whether it constitutes double taxation in cases where income tax is imposed on the landowner following the imposition of gift tax to a gratuitous user of land, and the denial of wrongful calculation.

Where gift tax is imposed on a free user of land before the obligation to pay income tax on the landowner becomes final and conclusive, the obligation to pay income tax shall not be exempted unless special provisions exist to exempt the landowner from liability to pay income tax.

Article 41 of the Income Tax Act by Wrongful Calculation

1. The plaintiff's appeal is dismissed.

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

The judgment of the first instance shall be revoked. The defendant revoked the disposition of imposition of global income tax of KRW 6,110,170 (including additional tax; hereinafter the same shall apply) for the plaintiff on January 31, 2005, global income tax of KRW 7,191,060 for the year 200, global income tax of KRW 4,085,740 for the year 2001, global income tax of KRW 2,452,740 for the year 202, global income tax of KRW 2,031,770 for the year 203.

The reasoning for the court's reasoning for this case is that the legislative discretion is granted to the legislation on how to regulate the two different tax items in the case of double application as separate taxes constituting different tax items in the sense that even if the result of double taxation on the source of the same tax-bearing force is different by imposing gift tax on the land user, and by imposing the income tax on the land owner by denying the application of wrongful calculation, the above taxes are subject to a wide legislative discretion. Thus, in the case where gift tax is imposed in accordance with special provisions on exemption of gift tax, unless there is any special provision on exemption of income tax, the liability for income tax payment cannot be deemed exempted unless there is a special provision on exemption of income tax on the case where gift tax is imposed, and such interpretation does not contravene the principle of tax equality or the equity of taxation. Thus, it shall be cited as the reasoning of the judgment of the court of first instance, except for the addition of the "in the case of imposition of gift tax on the land user" as stated in the judgment of the court of first instance.

Therefore, the judgment of the court of first instance is legitimate, and the plaintiff's appeal is dismissed. It is so decided as per Disposition.