The judgment below

The part against the plaintiffs is reversed, and that part of the case is remanded to the Seoul High Court.

The defendant.

The grounds of appeal are examined.

1. Regarding the plaintiffs' grounds of appeal

A. (1) Article 22-2(1) of the former Framework Act on National Taxes (amended by Act No. 9911, Jan. 1, 2010; hereinafter the same) provides that “The rectification that increases the amount of tax initially finalized under tax-related Acts shall not affect the rights and obligations relationship under this Act or other tax-related Acts with respect to the amount of tax initially finalized.”

In case of a disposition of increase or decrease, the original report or decision shall lose its independent existence value by absorbing the increase or decrease disposition. Therefore, in principle, only the increase or decrease disposition shall be subject to adjudication in an appeal litigation, and a taxpayer may also claim the illegal grounds for the initial report or decision in the appeal litigation.

However, in addition to the language and text of the above provision, in light of the fact that even if the legislative purport of the above provision is a disposition of increase or decrease, it is intended to restrict any objection against the amount of tax in the initial return or decision which cannot be raised any longer due to the period of objection or the lapse of the period of filing a request for correction, it is not possible to seek cancellation of the amount of tax which cannot be raised any longer due to the limit of the period of objection or the period of filing a request for correction, and to seek cancellation

(2) Article 45-2(1) of the former Framework Act on National Taxes (amended by Act No. 10405, Dec. 31, 2007; hereinafter “former Framework Act on National Taxes”) provides that a person who has filed a return of tax base within the statutory due date of return falls under any of the following subparagraphs, shall be the tax base of the national tax reported and the amount of tax reported for the initial return, and the amount of tax, if any determination or correction is made pursuant to each tax-related Act, which has been made or made on March 29, 2012 (see, e.g., Supreme Court Decisions 2006Du17390, May 14, 2009; 201Du4855, Mar. 29, 2012).