With respect to Class A earned income of which withholding tax is omitted, whether the global income tax is imposed on the income earner (affirmative)

Even if Class A earned income is collected from source tax, if the income is to be added to the global income tax standard under the Income Tax Act, and the income is omitted, the income earner may also be levied as global income tax.

Articles 15 and 142 of the Income Tax Act

Supreme Court en banc Decision 79Nu347 Decided September 22, 1981 (Gong1981, 14384) 80Nu272 Decided December 28, 1982 (Gong1983, 372)

Man-Gyeong, Pyeong-man

Head of Seogsan Tax Office

Busan High Court Decision 88Gu421 delivered on June 16, 1989

The appeal is dismissed.

The costs of appeal are assessed against the plaintiff.

The grounds of appeal are examined.

Even if Class A earned income is to be collected from source tax, if the income is to be added to the tax base of global income under the Income Tax Act and the income is omitted, the income earner may also be imposed as global income tax (see, e.g., Supreme Court Decision 79Nu347, Sept. 22, 1981; Supreme Court Decision 80Nu272, Dec. 28, 1982).

According to the reasoning of the judgment below, the court below, after compiling the evidences, determined on July 1, 1984 that the plaintiff became the head of Busan Yong-Namon branch office around February 1, 1985, and that the above book publication plaza had 27 executive officers including the plaintiff registered each business for the purpose of tax evasion and distributed taxation data independently as if he operated each business. The plaintiff also registered the business in his trade name, Yong-Nam on October 19, 1984, and disguised the business of the plaintiff as if he operated the above business independently, and received monthly salary income tax from the above Kim Young-nam branch office from 10,000 won to 10,000 won of the above business registration, from 10,000 won of the above business registration, from 10,000 won of the above business registration square from 10,000 won of the above business registration square to 10,000 won of the above business registration square, but did not receive monthly salary income tax from 10,000,00 won of the above business registration square.

Examining the reasoning of the judgment of the court below in comparison with the records, the fact-finding and judgment are justified, and there is no illegality such as the theory of lawsuit. The arguments are groundless.

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 Lee Chang-chul (Presiding Justice)