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 May 27, 2005, the Plaintiff acquired 4,816 square meters in Pyeongtaek-si B.

On September 5, 201, the above land was subdivided into two lots: B 1,142 square meters, C 1,302 square meters, and D 2,372 square meters.

On May 17, 2012, the Plaintiff transferred the same 1,142 square meters (hereinafter “instant land”) to the Korea Rail Network Authority in the course of expropriation.

B. On July 16, 2012, the Plaintiff filed an application for reduction of or exemption from capital gains tax on the farmland substitute land upon filing a report on capital gains tax on this, and thereafter, on April 2, 2014, the Plaintiff acquired the instant substitute farmland 2,852.6 square meters (hereinafter “the instant substitute farmland”).

C. As a result of a field investigation on the instant land, the Defendant denied the reduction or exemption of the capital gains tax on the instant land on October 1, 2014, on the ground that the Plaintiff did not directly cultivate the instant land for at least three years, and rendered a decision and notification on KRW 91,517,110 (including additional tax) for the capital gains tax on the instant land for which 2012 reverts to the Plaintiff.

The plaintiff filed an appeal with the Tax Tribunal on April 18, 2016.

[Ground of recognition] A without dispute, entry of Gap evidence 6, purport of whole pleadings

2. Whether the disposition is lawful;

A. After acquiring the instant land on May 27, 2005, the Plaintiff joined the franchising Agricultural Cooperative as a member on March 20, 2006, while serving in the local agricultural cooperatives until retirement from the local agricultural cooperatives on October 1, 2010, and the Plaintiff was sufficiently able to receive subsidies for preserving rice income. After retirement from the local agricultural cooperatives, the Plaintiff was self-employed as a full-time employee from the transfer of the instant land to the transfer of the instant land on May 17, 2012.

Therefore, since the Plaintiff cultivated the instant land for not less than three years, the transfer of the instant land constitutes an exemption from capital gains tax under the farmland substitute land pursuant to Article 70(1) of the Restriction of Special Taxation Act.

(b) Article 70(1) of the Restriction of Special Taxation Act shall be prescribed by Presidential Decree, where farmland is located.