All appeals filed by prosecutors and defendants are dismissed.

1. Summary of the grounds of appeal 2) The Defendant, misunderstanding the legal principles, used two borrowed accounts for business purposes, but did not aim at tax evasion.

Although the business accounting books were not prepared, there was no separate or false accounting books for the purpose of tax evasion, and no specification or related documents were kept, but they were not kept due to the lack of the need to save the expenses incurred in the storage or to keep them, nor did the relevant documents be discarded for the purpose of tax evasion.

Therefore, the Defendant did not commit an active act of concealing income other than the use of a borrowed account, and thus, the Defendant’s act was evaded by “the act of fraud or other unlawful act” under Article 3(1) of the Punishment of Tax Evaders Act.

shall not be deemed to exist.

(2) The sentence sentenced by the lower court (10 months of imprisonment, two years of suspended sentence) is too unreasonable.

3) The sentence imposed by the prosecutor by the lower court is too unhued and unreasonable.

2. Determination 1) Article 3(6) of the Punishment of Tax Evaders Act provides for “Intentionally failing to prepare or keep books of account” under Article 3(5)5 of the Punishment of Tax Evaders Act, “Intentionally failing to do or not keep books of account,” and other fraudulent acts or unlawful acts.”

Article 71 (1) of the Value-Added Tax Act shall record all the facts of transactions related to his/her paid tax amount or refunded tax amount in a book and keep it in a place of business, as prescribed by Presidential Decree.

“A business entity shall preserve the books recorded pursuant to paragraphs 1 and 2 and the tax invoice, tax invoice, or receipt issued or received pursuant to Articles 32, 35, and 36 for a period in which the transaction is made, for a period of five years after the deadline for filing a final return for the taxable period in which the transaction is made.

“......”

The income tax law also has a provision that is similar to this in Article 160.