(a) The meaning of land annexed to a ground settlement under Article 84-4 (3) 5 of the Enforcement Decree of the Local Tax Act and criteria for judgment;

(b) Where land is acquired to use the existing building used for business purposes as land annexed to the new building and used as land annexed to the existing building, and land is incorporated into land annexed to the existing building and used;

A. Land annexed to a ground settlement shall, in principle, be used directly for its own business so as to serve the utility of the ground settlement, so long as the ground settlement is used for its own business, it shall be excluded from the land for non-business use. However, in a case where it exceeds a certain basic area, it shall be deemed that the land for non-business use of a corporation even if it is used directly for its own business, and whether it is a land

B. Where land is acquired to use the existing building used for business purposes as land annexed to the new building, and used as land annexed to the existing building, it shall not change the land annexed to the existing building until the date of its incorporation into the land for business purposes. Therefore, if the land within the standard area under Article 84-4(3)5 of the Enforcement Decree of the Local Tax Act is within the scope of the basic area under Article 84-4(3) of the Enforcement Decree of the Local Tax

Articles 112(2) and 112-3 of the Local Tax Act, Articles 84-4(1) and 84-4(3) of the Enforcement Decree of the same Act

Korea Housing & Commercial Bank (Law No. 550, Mar. 1, 20

Head of Busan Metropolitan City, Busan Metropolitan Government

Busan High Court Decision 91Gu3291 delivered on May 20, 1992

The judgment below is reversed, and the case is remanded to Busan High Court.

We examine the grounds of appeal.

According to the reasoning of the judgment below, the court below determined as follows: (a) the plaintiff owned the 4th floor building located on the ground of 261.5 square meters in total in Busan-dong, Busan-gu (number 1,2 omitted), which is a commercial district; (b) the plaintiff planned to remove the 4th floor building because it was worn out and narrow; and (c) to expand new building on the 1989.7.3; and (d) the plaintiff acquired 3 buildings adjacent to the above land and the above ground buildings; (b) 2 buildings among the 3 Dongs of the above building on May 21, 1990; and (c) the remaining building building was removed on June 28 of the same year, and constructed the land as the vacant land for non-business purpose on July 28, 199; and (d) the plaintiff did not directly own the above land on the 19.7rd new building and constructed the new building on September 24, 198.

However, land for non-business use of a corporation whose acquisition tax is heavy shall not be used directly for its unique duties within one year from the date of its acquisition without justifiable reasons (Article 84-4 (1) of the Enforcement Decree of the Local Tax Act). Land for a ground settlement is used directly for its own business in principle as land for the utility of the ground settlement, so that it is used for its own business, and shall be excluded from land for non-business use. However, if it is used directly for its own business (Article 84-4 (3) 5 of the Enforcement Decree of the Local Tax Act), even if it is used directly for a specific basic area (Article 84 (3) 5 of the same Act), it shall be deemed land for non-business use of the corporation. Thus, even if the land was acquired for the purpose of using it as land for a newly constructed building after the dissolution of the existing building, it shall not be changed from the date of its incorporation into land for non-business use until the new building was used for the purpose of business use, and therefore, it shall not be viewed as land within the basic area for non-business use.

The court below held that the land of this case cannot be deemed as the land annexed to the existing building of the ○○ Dong Branch without any deliberation and determination on the claim that the plaintiff was incorporated into the land annexed to the existing building of the above ○○ Dong branch and used for business purpose, and used as the land for customer use, and that the land of this case was not used directly for the plaintiff corporation's unique business within one year after the acquisition of the land of this case, and thus, it constitutes a non-business land subject to heavy taxation. The court below erred in the misapprehension of legal principles as to the land annexed to the ground settlement or the land for non-business use of the corporation, which is the land of this case. The ground for appeal pointing this out is with merit.

Therefore, the judgment below is reversed, and the case is remanded to the court below. It is so decided as per Disposition by the assent of all participating Justices.

Justices Park Jong-ho (Presiding Justice)