Where the actual transaction price is unclear, a notice of specific areas and a decision of multiple rates made by the Commissioner of the National Tax Service before the amendment of the law to apply the transfer and acquisition price to the standard market price

In imposing transfer income tax, Article 23, Article 45, and Article 60 of the Income Tax Act provides that the transfer and acquisition value shall be based on the standard market price at the time of transfer and acquisition in cases where the actual transaction price is unclear shall be based on the standard market price at the time of the transfer and acquisition of the transfer and acquisition, and Article 115 of the Enforcement Decree of the Income Tax Act (amended by Presidential Decree No. 9229, Dec. 30, 1978; Presidential Decree No. 115 of the same Act (amended by Presidential Decree No. 9229, Dec. 30, 1978; Presidential Decree No. 2029, Dec. 30, 200).

Articles 23, 45, and 60 of the Income Tax Act (amended by Act No. 3098 of Dec. 5, 1978); Article 115 of the Enforcement Decree of the same Act (amended by Presidential Decree No. 9229 of Dec. 30, 1978)

Supreme Court Decision 87Nu716 Decided October 26, 1987 (Gong1987, 1813) 90Nu226 Decided April 27, 1990 (Gong190, 1191)

Stindation

Deputy Director of the Tax Office

Seoul High Court Decision 89Gu9670 delivered on March 20, 1990

The appeal is dismissed.

The costs of appeal are assessed against the defendant.

We examine the grounds of appeal.

In imposing transfer income tax, Article 23, Article 45, and Article 60 of the Income Tax Act (amended by Presidential Decree No. 9229, Dec. 30, 1978; Presidential Decree No. 1158, Dec. 30, 1978; Presidential Decree No. 9229, Dec. 30, 1978; Presidential Decree No. 115 of the Income Tax Act (amended by Presidential Decree No. 9229, Oct. 26, 1987; Presidential Decree No. 9229, Oct. 26, 1987; Presidential Decree No. 9257, Oct. 26, 1987).

In the same purport, the court below held on February 15, 1978 before the amendment of the above Act that the above notice did not have any legal basis, even if the notice was publicly announced as a specific area on February 15, 1978 by the National Tax Service pursuant to Article 78-7 of the National Tax Service. In calculating the transfer margin of this case, the acquisition price and transfer price in accordance with Article 115 (1) 1 (b) of the former Enforcement Decree of the Income Tax Act (amended by Presidential Decree No. 12154, May 8, 1987) are calculated on the basis of the standard market price under the Local Tax Act.

Therefore, the appeal is dismissed, and the costs of appeal are assessed against the defendant. It is so decided as per Disposition by the assent of all participating Justices.

Justices Kim Sang-won (Presiding Justice)