Whether the cost incurred in purchasing the apartment unit sold by the bond bid system is included in the cost for acquisition of the apartment unit sold by the bond bid system;

Where the apartment lot sold by bonds has been acquired by winning, the purchase of the bonds is essential for the winning, and the expenses incurred for the purchase of the bonds are included in the cost for acquisition of the apartment lot as well as the purchase price for the above apartment lot.

Article 45 (1) 1 of the Income Tax Act, Article 86 (1) 1 of the Enforcement Decree of the Income Tax Act, and Article 94 (1) 1 of the Income Tax Act

Supreme Court Decision 85Nu254 Delivered on October 22, 1985

Plaintiff

The Director of the Korean Tax Office

Seoul High Court Decision 85Gu274 delivered on October 28, 1985

The appeal is dismissed.

The costs of appeal are assessed against the defendant.

We examine the grounds of appeal.

According to the reasoning of the judgment below, the court below, based on the evidence adopted by the court below, determined that the plaintiff purchased the above apartment bonds at the price of KRW 5,00,00,000 at the Korea Housing & Commercial Bank Branch of KRW 5,000,00, and purchased the bonds at the price of KRW 39,000 on September 1, 1983, which were newly constructed and sold by Hanyang-dong Co., Ltd. on the basis of this, and won at the price of purchase of KRW 9,130,00,00 for the apartment bonds at the price of KRW 7,00,000,000 for the above apartment bonds (the payment price of KRW 5,00,00) and at the same time, purchased the bonds at the price of the above apartment bonds at the price of KRW 7,00,00,00 for the above apartment bonds at the price of KRW 700,000,00 for the above apartment bonds at the price of KRW 20,00,00,000.

In light of the records, the above recognition and judgment of the court below are justifiable. In the case of the acquisition of apartment lots sold through the bond bid as in this case, the purchase of the bond is essential for the winning, and thus, the expenses incurred for the purchase of the bond shall be considered to be included in the cost for acquisition as the price for the acquisition of the above apartment lot as well as the sale price (see Supreme Court Decision 85Nu254 delivered on October 22, 1985), and there is no error of law such as misunderstanding of legal principles or incomplete deliberation, such as the theory of lawsuit, etc. It is not acceptable from an independent opinion that argues the judgment of the court below.

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

Justices O Sung-sung(Presiding Justice)