(a) The meaning of “a reduced or exempted tax” under Article 3(2) of the Regulation of Tax Reduction and Exemption Act;

B. Whether Article 49 of the same Act applies to special surtax (negative)

A. In light of the legislative intent of Article 3(1) of the Act on the Regulation of Tax Reduction and Exemption and the Act on the Regulation of Tax Reduction and Exemption and the Act on the Regulation of Tax Reduction and Exemption, and Article 3(2) of the Act on the Transfer Income Tax and the Special Surtax to exclude tax reduction and exemption, "tax reduced or exempted" means not only the case of tax reduction and exemption, but also the case of income calculation such as inclusion in deductible expenses, income deduction, tax credit, etc. ultimately

B. According to Article 49 of the same Act, donations, etc. shall be included in deductible expenses within the scope of income after subtracting carried-over losses. According to Article 2(1)5 of the same Act, the term "deductible expenses" in the same Act means necessary expenses under Article 31 of the Income Tax Act or deductible expenses under Article 9 of the Corporate Tax Act. Unlike the provisions of Articles 8(1)1 and 9 of the same Act, Article 59-2 of the same Act provides for the method of calculating gains on transfer, which are the tax base of special surtax, and the provisions of Article 49 of the Regulation of Tax Reduction and Exemption Act do not provide for the deduction system of carried-over losses. In light of the fact that Article 8(1)1 and Article 9 of the same Act

(a) Article 3 (2) of the Regulation of Tax Reduction and Exemption Act;

Supreme Court Decision 92Nu16881 delivered on May 27, 1993

Seoul High Court Decision 200Na1448 delivered on August 1, 200

Head of Dong Daegu Tax Office

Daegu High Court Decision 92. 21 October 21, 1992, 92Gu221

The appeal is dismissed.

The costs of appeal are assessed against the plaintiff.

We examine the grounds of appeal.

The supplemental appellate brief shall be considered to the extent of supplement in case of supplemental appellate brief.

According to Article 49 (2) 6 of the Regulation of Tax Reduction and Exemption Act, donations made by a national to a private school under the Private School Act for facility expenses, educational expenses, or research expenses shall be included in deductible expenses within the scope of income after subtracting carried forward losses in calculating the income amount for the pertinent taxable year. According to Article 3 (2) of the same Act, "tax to be reduced or exempted" shall not include additional tax, income tax on capital gains under Article 23 of the Income Tax Act, special surtax under Article 59-2 of the Corporate Tax Act, and special surtax under Article 49-2 of the same Act, except as otherwise provided in the relevant Act or treaties, since Article 3 (1) of the Regulation of Tax Reduction and Exemption Act and Article 3 (2) of the same Act provides that "tax to be reduced or exempted" shall not be included in deductible expenses for the purpose of excluding tax reduction and exemption or special surtax under Article 9 (2) of the Corporate Tax Act, the provisions of the Act on the Regulation of Tax Reduction and Exemption and Exemption as well as the provisions of Article 9 (2) of the Corporate Tax Act concerning special surtax.

Therefore, the appeal shall be dismissed, and all costs of appeal shall be assessed against the losing party. It is so decided as per Disposition by the assent of all participating Justices.

Justices Park Jong-ho (Presiding Justice)