The appeal is dismissed.

The costs of appeal are assessed against the Plaintiff.

The grounds of appeal are examined (to the extent of supplement in case of supplemental appellate briefs not timely filed).

1. The lower court dismissed the instant preliminary claim on the ground that: (a) the Plaintiff’s exercise of the subrogation right against the Defendant on the grounds of the content of the instant trust agreement concluded between the Plaintiff and the Defendant, a taxpayer, would result in realizing the final satisfaction of the taxation rights from a person who is not liable to pay taxes under a private contract or procedure, not by law; and (b) it is not permissible in light of the principle of no taxation without law.

2. (1) Even though a taxpayer does not have sufficient means to pay his tax liability, the State which is a taxation right holder needs to secure and preserve the general property of the taxpayer through the exercise of the creditor's subrogation right if the taxpayer does not realize the right of a third party.

Article 28(1) of the Framework Act on National Taxes provides for the duty payment notice, demand notice or demand notice of payment, request for delivery, and seizure as grounds for suspending extinctive prescription of a tax claim, and separate provisions stipulate that the extinctive prescription does not run for “the period during which a creditor subrogation lawsuit is pending by filing a creditor subrogation lawsuit under Article 404 of the Civil Act” under

The exercise by the State on behalf of a third party by fulfilling the requirements for a subrogation lawsuit by a creditor does not require the third party who is not liable to pay taxes to bear the tax liability or to guarantee it, nor does it extend the scope of establishment or exercise of the tax claim arbitrarily.

Meanwhile, Article 41(2) of the National Tax Collection Act provides that “When the director of a tax office has notified the attachment of a claim, he/she shall subrogate the obligee who is a delinquent taxpayer to the extent of the delinquent amount.”