A male Electrical Co., Ltd. (Attorney Kim Jong-tae, Counsel for the plaintiff-appellant)

The head of Seoul Nowon-gu

1. All of the plaintiff's claims are dismissed.

2. Litigation costs shall be borne by the plaintiff.

The imposition of the registration tax of KRW 89,575,480, the defense tax of KRW 17,915,090, and the registration tax of KRW 37,350,627, and the defense tax of KRW 7,470,125, which the Defendant notified to the Plaintiff on July 12, 1991, shall be revoked.

On February 19, 1973, the Plaintiff was established for the purpose of selling electronic apparatus and communication apparatus, etc. on September 24, 1985, added real estate leasing business on September 24, 198, and on September 2, 1987, purchased between 712 and 75.8 square meters (hereinafter referred to as the “site”) from the Defendant on March 13, 1989, and applied the registration tax rate of 341.14 square meters on the first floor of the building, 360.24 square meters on the second floor, 60 square meters on the second floor, 36.24 square meters on the second floor, 60 square meters on the second floor, 6.4 square meters on the second floor, 196 square meters on the second floor, 196 square meters on the second floor, 200 square meters on the second floor, 3.5 meters on the second floor and 96 meters on the second floor on the ground.

In regard to the defendant's assertion that each disposition of this case is lawful on the grounds of the above disposition and the applicable provisions of the Act, the heavy tax rate provided for in Article 138 (1) 3 of the Local Tax Act shall apply only to the land and buildings acquired by a corporation for the purpose of using as a branch or a sub-branch. As to the building of this case, although the building of this case was newly constructed for the purpose of lease only partially leased, the plaintiff did not have any personal or physical facilities such as employees, offices, etc. for the management and continued to operate business or business, and the plaintiff's head office was directly leased and managed at the plaintiff's head office. The remaining parts of the first and second floors are merely a lease for the original purpose of construction, and therefore, the plaintiff's business registration and establishment of the plaintiff's branch office shall not be subject to the above heavy tax rate as to the whole of the building of this case.

Article 138 (1) 3 of the Local Tax Act provides that the registration tax shall be levied heavily on the real estate following the establishment of a juristic person and the establishment of a branch or sub-branch in a large city and the relocation of a juristic person into a branch or sub-branch. Article 102 (2) of the Enforcement Decree of the same Act provides that the registration tax shall be imposed heavily on the real estate after the establishment, establishment, and relocation of the branch or sub-branch. Article 138 (1) 3 of the Enforcement Decree of the same Act provides that the "real estate registration following the establishment, establishment, and the relocation of the branch or sub-branch in a large city" means all the real estate acquired by the juristic person or sub-branch in question before the establishment, establishment, and relocation of the branch or sub-branch in a new building, regardless of whether the establishment, establishment, sub-branch or sub-branch was established, and that the registration of the real estate in question is not yet required for the establishment of the new branch or sub-branch in accordance with the above provision 9 of the Local Tax Act.

Therefore, the plaintiff's claim of this case seeking the revocation of each disposition of this case on the premise that only the first and second floors of the building of this case are used at the plaintiff's branch is all dismissed, and the costs of lawsuit are assessed against the plaintiff who has lost. It is so decided as per Disposition with the assent of all.

Judges Lee Jae-jin (Presiding Judge)