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 September 21, 201, the Plaintiff acquired and owned 386,650 shares issued by Company B (hereinafter “instant shares”) and transferred the shares around January 27, 2016.

B. On May 25, 2016, the Plaintiff reported the transfer value of the instant shares to the Defendant as KRW 5,362,835,50, acquisition value of KRW 15,153,50, and necessary expenses KRW 21,451,36, and paid capital gains tax by scheduled return by applying the transfer income tax rate of KRW 1,064,746,133, by applying the said rate of 20%.

C. On August 1, 2016, the Plaintiff claimed that the transfer income tax rate of the instant shares constituted 10%, and the Defendant filed an application for rectification of transfer income tax. On the ground that the transfer income tax rate under Article 104(1)11 of the Income Tax Act (wholly amended by Act No. 13558, Dec. 15, 2015; hereinafter “the amended Income Tax Act”) constitutes 20%, the Plaintiff notified the Plaintiff of the result of filing a request for rectification (hereinafter “instant disposition”).

The Plaintiff appealed and filed an appeal with the Tax Tribunal on November 11, 2016, but was dismissed on January 17, 2017.

[Ground of recognition] No dispute, Gap 1, 2, and Eul 1, the purport of the whole pleadings

2. Whether the instant disposition is lawful

A. The amended provisions of the Income Tax Act, which came into force from January 1, 2016, raised the transfer tax rate from 10% to 20% applicable to the transfer of shares by a major shareholder of a small and medium enterprise, and Article 12 of the Addenda of the same Act (hereinafter “the Addenda provisions of this case”) provides that the Korea Securities Depository transfers the shares of a small and medium enterprise, which is mandatory to be protected under the relevant Act, to the date six months after the expiration date of the period of the deposit, notwithstanding the amendment of the main provision of this case.

The purpose of this supplementary provision is to protect small investors.