As the details of the raising of funds for non-financial expenses following the processing purchase are clarified, the returned amount cannot be deemed as internal reserve.

The disposal of income shall not be deemed as internal reserve unless the processing purchase amount was returned to the corporation as stated in the details of the raising of the non-financial expense, after being notified of the tax investigation or after being notified of the correction, and unfairly collected amount of outflow from the company.

The contents of the decision shall be the same as attached.

Article 14 (Income for Each Business Year of Corporate Tax Act)

Article 19 (Scope of Deductible Expenses)

1. The plaintiff's claim is dismissed.

2. The costs of lawsuit shall be borne by the Plaintiff.

The defendant's disposition on January 5, 2005 against the plaintiff 229,200,49 won for the business year of 2001, for the business year of 2002, for 54,014,144 won for the business year of 2002, for the business year of 203, for the business year of 396,046,211 won for the business year of 203 shall

1. Details of the disposition;

The following facts shall not be disputed between the parties, or may be recognized by the statements in Gap evidence 1-1-3, Gap evidence 2-16:

A. The Plaintiff is a company engaged in the development, production, and sales of electrical equipment at ○○-dong 2186-○, Silsi-dong.

B. From January 2001 to January 2004, the Defendant: (a) received processing tax invoices equivalent to KRW 1,208,457,00 in total from ○○ Korea and 14 business parties; and (b) filed a report on corporate tax for the year 2001 to 203 by adding the above amount to deductible expenses; and (c) filed a return on each of the tax amount for the year 2001 to 1,208,457,00 won by deducting the above amount from the output tax amount; and (d) filed a return on each of the tax amount for the year 2001 to 1,204 to 200; (b) on the ground that each of the above amounts was created as a bonus for the year 229,200,49 won for the year 2002 to 54,014,144 won for the year 203 to 396,2046,211 won for 205.

C. On August 22, 2005, the Plaintiff appealed to the National Tax Tribunal on August 22, 2005, but was dismissed on September 19, 2007.

2. Determination of legality of disposition

A. The plaintiff's assertion

It was true that the Plaintiff created the amount equivalent to the above amount by receiving the processing tax invoice of KRW 1,208,457,740 in total over the period from January 2001 to January 2004. However, part of the above amount was ① Value-added Tax 1,048,138,250,000, ③ the amount paid for the business expenses (114,250,000,300, 150,000, 50,000, 132,330, 630, 65,000, 740, 740 won in total, and 1,000,000 won in the acquisition price of the factory site, and 7,348,65,63,686, 208, 208, 206, 2016, 208, 206, 2016, 206, 2006,284,27,20.

(b) Related statutes;

Article 14 (Income for Each Business Year of Corporate Tax Act)

Article 19 (Scope of Deductible Expenses)

C. Determination

(1) Where a corporation fails to enter its sales in its account book despite the fact of sales, unless there are special circumstances, it shall be deemed that the total amount omitted sales was leaked out of the company. In this case, the special circumstance that the omission amount of sales was not leaked out of the company shall be proved by the corporation asserting it (see, e.g., Supreme Court Decision 2000Du3726, Jan. 11, 2002). Further, Article 67 of the former Corporate Tax Act (amended by Act No. 8831, Dec. 31, 2007); Article 18 of the former Enforcement Decree of Corporate Tax Act (amended by Presidential Decree No. 18706, Feb. 19, 2005; Presidential Decree No. 17826, Dec. 30, 2002; Presidential Decree No. 10657, Dec. 17, 2001) provides that the amount of income generated from such act shall not be deemed as disposal of its income.

(2) As to the instant case, there is no dispute between the parties as to the fact that the Plaintiff raised the amount equivalent to the above amount as a result of the receipt of the processing cost tax invoice in the account book by means of issuing the processing cost invoice equivalent to the sum of KRW 1,208,457,740 from January 201 to January 2004.

Therefore, according to the reasoning of the judgment below, it is hard to find that the Plaintiff’s assertion that the Plaintiff used the 1,208,48,138 won of value-added tax based on the receipt of the processing tax invoice, and the 1,208,457,740 won in the account of 1,208,250 won, and 150,00,000 won in the balance of the business expenses for 1,50,000 won, and 3,00,000 won in the account of 1,50,000 won in the name of the representative director for 1,50,00 won in the 309,00 won in the 1,205,00 won in the 1,50,000 won in the 1,50,000 won in the 1,50,000 won in the 360,000 won in the 306,007,00 won in the 307.

93) Meanwhile, according to the evidence evidence Nos. 19 through 27, it can be acknowledged that a sum of KRW 827,952,283 has been returned to the Plaintiff between October 2004 and December 2004. However, even according to the Plaintiff’s assertion, the above money was returned to the Plaintiff as the details of raising funds were clarified, and so long as the amount unfairly asserted against the Plaintiff was collected after receiving a notice of tax investigation or after receiving a notice of tax investigation, the disposition of income cannot be deemed as internal reserve unless it was collected with prior knowledge that there was a correction.

(4) Therefore, it is legitimate that the Defendant’s disposition of this case is deemed lawful on the ground that the total amount of KRW 1,169,260,854, which was received by the Defendant from 2001 to 2003, was reverted to this ○-ro on the ground that it is clear that all of the input tax invoices were out of the company,

3. Conclusion

Therefore, the plaintiff's claim of this case is dismissed as it is without merit, and it is so decided as per Disposition.