1. The plaintiff's claim is dismissed.

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

1. Details of the disposition;

A. On October 19, 1987, the Plaintiff acquired 2,223 square meters and C 89 square meters (referring to each of the above lands, so called “instant land”). On June 21, 2016, the Plaintiff transferred the instant land to D.

B. On August 31, 2016, when the Plaintiff reported capital gains tax of KRW 114,826,556 on the instant land, the Plaintiff did not apply the special deduction for long-term possession pursuant to Article 95(4) of the former Income Tax Act (amended by Act No. 14389, Dec. 20, 2016; hereinafter the same), but upon the amendment of the former Income Tax Act, the Plaintiff filed a claim for correction against the Defendant for refund of KRW 40,627,960 for the taxable year 2016, and the Defendant filed a claim for correction on May 2, 2017, on the ground that “the instant land is idle land and its reported details are justifiable” (hereinafter “instant disposition”).

(1) The amount of capital gains shall be calculated by deducting the special deduction for long-term holding from the amount (hereinafter referred to as "transfer marginal profits") obtained by deducting necessary expenses pursuant to Article 97 from the total amount of capital gains pursuant to Article 94 (hereinafter referred to as "transfer value") and deducting the special deduction for long-term holding from such amount.

(2) "Amount of special deduction for long-term holding" in paragraph (1) means the amount calculated by multiplying the assets under Article 94 (1) 1 (excluding any assets transferred without registration under Article 104 (3)) the holding period of which is at least three years by the deduction rate by holding period under attached Table 1:

Provided, That in cases of assets falling under one house for one household prescribed by Presidential Decree (including land annexed thereto), it shall be the amount calculated by multiplying the gains from the transfer of such assets by the deduction rate by holding period prescribed in attached Table 2 below:

(4) The holding period of assets under paragraph (2) shall be the date of acquisition of such assets and the date of transfer.

Provided, That in case of Article 97-2 (1), the spouse, lineal ascendant or descendant who has donated shall be.