Appropriateness of the estimation of the sales of Age clubs

The case holding that it is reasonable and reasonable to reflect the estimation of sales based on the purchase volume of alcoholic beverages and the details of credit card settlement in the amount close to the actual sales.

Article 69 of the Enforcement Decree of the Value-Added Tax Act

1. The plaintiff's claim is dismissed.

2. Litigation costs shall be borne by the plaintiff.

Cheong-gu Office

The Defendant’s imposition of value-added tax on the Plaintiff on May 10, 2004 as indicated in the separate sheet No. 1. Taxation Disposition No. 1. 5, 2004 and the separate sheet No. 2, May 15, 2004 as indicated in the separate sheet No. 1,144,510,480 of the imposition of each special consumption tax and education tax on the aggregate of KRW 686,706,288 of the imposition of each tax disposition (the written complaint appears to be a clerical error and the Defendant’s revocation of each of the above imposition dispositions exceeds 40%).

1. Details of the disposition;

A. From August 27, 2000 to March 31, 2003, the Plaintiff practically operated ○○○○○○○○○○○○-dong, etc., with the trade name of ○○○○○○, etc. (hereinafter “instant workplace”).

B. From August 1, 2003, the Defendant conducted a special tax investigation on the instant place of business from around 1, 2003, and conducted the following 2.C. After estimatings the Plaintiff’s sales as stated in the Plaintiff’s Port, the Defendant issued a disposition imposing each value-added tax as stated in the attached Table 1 of May 10, 2004 and each special consumption tax, special consumption tax, and education tax (hereinafter collectively referred to as “the disposition of this case”) on May 15, 2004 as stated in the tax assessment list.

C. On July 26, 2004, the Plaintiff filed an appeal seeking the revocation of the instant disposition with the National Tax Tribunal, but the said appeal was dismissed on May 25, 2005.

[Reasons for Recognition] Facts without dispute, each entry of 1 evidence, Eul 1 to 3 evidence (including each number), the purport of the whole pleadings

2. Whether the instant disposition is lawful

A. The parties' assertion

In regard to the Defendant’s assertion that the instant disposition was lawfully made in accordance with relevant Acts and subordinate statutes, the Plaintiff’s assertion to the effect that the instant disposition was unlawful on the grounds that the method of correction by estimation by the Defendant is unreasonable, and that the Plaintiff’s actual sales amount is merely 40% of the estimated sales amount by the Defendant, and that the part regarding the amount exceeding the actual sales amount by the Plaintiff should be revoked.

In other words, it is inappropriate to estimate the total sales on the premise that ① there is no objective proof that the Defendant calculated the sales of alcoholic beverages and safe alcoholic beverages, and there are many examples of orders for additional alcoholic beverages or safe alcoholic beverages other than alcoholic beverages provided on a table table by customers, and it is not appropriate to estimate the total sales on the premise that only one stock price per credit card is supplied.

② Since the customer’s place of business of this case includes a service charge of the nature of remuneration to employees of the said place of business during the amount settled by credit card, the service charge should be excluded from the Plaintiff’s sales.

③ It is unreasonable that the Defendant did not consider the part of the purchase volume of alcoholic beverages, which was not actually sold at a cost, because the Plaintiff provided female customers with alcoholic beverages at the promotional level free of charge.

B. Relevant statutes

It is as shown in the attached Form.

(c) Fact of recognition;

(1) On June 4, 2003, the Plaintiff filed a tax investigation into the instant workplace from August 1, 2003 to submit books necessary for verifying sales volume, such as daily sales volume, purchase, sales volume, etc., but the Defendant did not present such books to the Plaintiff, and the Defendant determined total sales volume by estimation method, and then disposed of the instant sales amount with respect to the difference between the sales amount originally reported by the Plaintiff and the sales amount originally reported by the Plaintiff, after purchasing and selling alcoholic beverages at ○○, etc.

She first, the total sales amount of alcoholic beverages computed by multiplying the Plaintiff’s total purchase amount of alcoholic beverages by the unit price table of alcoholic beverages by the place of business of this case as follows:

(unit of disease, 000 won)

Classification

Maerju

Yangju (general)

Commission 17 years

Bosene 17

Total

alternative:

[Lawsuit]

alternative:

[Lawsuit]

Total amount of purchase

854,419

12,945

12,579

830

137

77

Unit Price

4

85

5

120

80

200

Conversion into Sales

3,417,676

1,100,325

691,845

9,600

10,960

15,400

5,335,866

Next, the computation of the sales of alcoholic beverages is deemed to have been based on one table per credit card sales slip (43,383 cases) issued in the name of the instant business establishment, and is based on the calculation by applying 16,000 won as stated in the Qua Newcom sheet kept in the instant business establishment, by deeming that the sales of alcoholic beverages out of the total sales of alcoholic beverages (43,383 X 16,000 won = 694,000 won = 694,000 won) as the total sales of alcoholic beverages out of the total sales of credit card (694,58,000,000 won) and the amount obtained by subtracting the sales of alcoholic beverages out of the total sales of credit card (694,252,000,000 won) from the total sales of alcoholic beverages out of the instant business establishment (2,570,000 won per credit card sales, 200,000 won per total sales of alcoholic beverages (63,000,05000 won).

On the other hand, the workplace of this case sells 29,00 won 'basic' composed of 3 Macju and 1 week of basic design. The workplace of this case has worked as approximately 45 employees such as musical team and kitchen, water and water assistant. Unlike other employees, water and water assistant are not paid a certain monthly amount as wages, and 30% of their sales amount are separately calculated for each table of table of table in charge of each water. The credit card sales slip in the name of the workplace of this case includes 50% of their sales amount. [Grounds for recognition] The credit card sales slip in the name of this case is written at least 50% of their sales amount. [The grounds for recognition] fact that there is no dispute, Gap 2, Gap 3 through 10, Eul 3 through 10, Eul 1 through 3 (including each number), and the purport of the entire testimony, testimony, testimony, testimony, and the whole purport of the trial as a whole.

D. Determination

(1) Determination as to the assertion that the method of estimation was wrong

The plaintiff asserts that it is inappropriate to estimate the total sales on the premise that the defendant did not have any objective proof of calculating sales of alcoholic beverages and alcoholic beverages, and that it is inappropriate to estimate the total sales on the premise that the sales of alcoholic beverages and alcoholic beverages are supplied only to the customers who add alcoholic beverages and alcoholic beverages, as well as to the alcoholic beverages and alcoholic beverages, which are supplied on one table,

In this case, the defendant requested the plaintiff to submit books necessary for confirming the actual sales status and purchase/sale price, etc., but the defendant did not present all books due to the characteristics of the type of business and did not present them, and the defendant decided the total sales by estimation. The defendant's estimation made by estimation is based on the data objectively confirmed, such as the total purchase quantity confirmed as actual purchase by the plaintiff and the credit card payment method issued in the name of the place of business of this case, based on the plaintiff's calculation of the ratio of the sales amount of alcoholic beverages and the unit price of alcoholic beverages actually sold in the place of business of this case, and then, it is difficult to view that there is any more reasonable estimation method than the plaintiff's estimation method, as it is more reasonable and reasonable to reflect the plaintiff's actual sales amount in the calculation method and the contents of the estimation in this case. Thus, the plaintiff's assertion that the plaintiff's additional alcoholic beverages should not be presented in addition to the plaintiff's basic alcoholic beverages, should not be accepted as the plaintiff's assertion that the plaintiff's additional alcoholic beverages should not be presented to the plaintiff.

D. Judgment on the argument of exclusion from service charges

The Plaintiff asserts that the customer of the instant business place is about 30% of the amount paid by credit card using the credit card, and the service fees are the service fees of the water and the water assistant, and clearly separate the alcoholic beverages and the water's service fees from the sales slip. The Plaintiff asserts that the portion should be excluded from the sales since the Plaintiff settled the service fees in a lump sum for each week in which the payment is made by the credit card company.

However, according to Article 48 (9) of the Enforcement Decree of the Value-Added Tax Act, the service charges of employees (including free-income earners) who receive food and accommodation services or personal services together with the charges are written separately from the tax invoices, receipts, credit card sales slips, etc. under Article 32-2 of the Act, and where it is confirmed that the service charges are paid to the relevant employee, the service charges shall not be included in the tax base: Provided, That this shall not apply where the business operator appropriates the service charges in his/her own income: Provided, That this shall not apply where the business operator appropriates the service charges in his/her own income. According to the above facts, the plaintiff's entry of the feed rate stated in the credit card sales slips is more than 0 percent of the service charges claimed by the plaintiff as the amount paid to Nweweter and Nweter assistants, and the plaintiff's actual payment of 30 percent of the service charges to Kweweter and his/her employees for 20 percent of the above service charges in the form of 50 percent of the service charges actually paid to the relevant employee.

【Judgment on the Claim for Mutual Aid of Free Alcoholic Beverages

The plaintiff asserts that the defendant sold the whole quantity of alcoholic beverages without considering the part that was not sold among the total quantity of alcoholic beverages because the plaintiff provided alcoholic beverages and alcoholic beverages that were supplied based on the basis to female customers free of charge at the promotional level is unreasonable to disregard the reality of the operation of the gym clubs.

In addition, there is no evidence to prove the plaintiff's above assertion, and Article 6 (3) of the Value-Added Tax Act provides that "the case where an entrepreneur uses or consumes goods produced or acquired in connection with his own business for personal purposes or for other purposes, or donates them to his customers or many unspecified persons, as prescribed by the Presidential Decree, shall be deemed the supply of goods", and Article 16 (3) of the Enforcement Decree of the Value-Added Tax Act provides that "the case where an entrepreneur donates goods to his customers or to many unspecified persons pursuant to Article 6 (3) of the Value-Added Tax Act, it shall be deemed that the cost of the donated goods shall not be included in the price of the supply of goods which are the main transaction." Thus, even if a free liquor is offered to customers, as alleged by the plaintiff, even if it is a gift from business as defined in the above provision, which is a gift subject to value-added tax, it shall be deemed that

3. Conclusion

Therefore, the plaintiff's claim seeking the revocation of the disposition of this case is dismissed because it does not appear to be any mother and is without merit. It is so decided as per Disposition.

1. A list of taxation dispositions;

Time of Reversion

Value-Added Tax (won)

1, 2001

12,664,520

2, 2001

92,902,990

1, 2002

133,395,200

2, 2002

168,658,880

1, 2003

75,236,040

2. List of taxation disposition:

Time of Reversion

Special consumption tax ( won)

Education Tax (won)

January 2001

1,341,610

262,590

February 2001

1,704,670

36,750

March 2001

2,340,390

466,520

April 2001

3,074,880

618,720

May 2001

9,042,190

1,836,260

June 2001

10,819,180

2,218,280

July 2001

14,992,000

3,013,740

August 2001

31,495,950

6,590,780

September 2001

2,366,750

4,720,830

October 2001

18,172,220

3,872,670

November 2001

27,200,210

5,855,230

December 2001

40,301,470

8,764,070

January 2002

26,653,850

5,850,190

February 2002

14,616,290

3,242,600

March 2002

13,728,920

3,075,720

April 2002

2,520,120

5,098,890

May 2002

28,362,500

6,492,970

June 2002

25,071,790

5,797,960

July 2002

18,289,010

4,278,890

August 2002

22,938,850

5,420,560

September 2002

12,195,510

3,069,450

October 2002

25,186,520

6,089,050

November 2002

37,935,690

9,269,730

December 2002

36,876,280

9,810,680

January 2003

29,211,020

7,820,570

February 2003

24,149,730

6,514,680

March 2003

16,642,960

4,522,910

(b) Related statutes;

(1) Value-Added Tax Act;

Article 1 (Taxable Objects)

(1) Value-added taxes shall be imposed on the following transactions:

1. Supply of goods or services; and

2. Import of goods.

(2) The term "goods" in paragraph (1) means all tangible things and intangible things which have property value.

(3) The term "services" in paragraph (1) means all services and activities other than goods, which have property value.

Article 21 (Settlement and Correction)

(1) The head of a district tax office having jurisdiction over a place of business, the Commissioner of the competent Regional Tax Office, or the Commissioner of the National Tax Service shall determine or correct the tax base of value-added tax or tax amount

1. Where the final tax return is not filed;

2. Where there are any mistakes or omissions in details of the final tax return;

3. Where the list of the total tax invoice by buyer or the total tax invoice by buyer is not submitted in the final tax return, or all or part of the submitted list of the total tax invoice by buyer is not entered

4. Where there is a possibility of evading the value-added tax due to the causes as determined by the Presidential Decree other than subparagraphs 1 through 3.

(2) Where the head of a district tax office having jurisdiction over a place of business, the Commissioner of the competent Regional Tax Office or the Commissioner of the National Tax Service determines or revises the tax base and amount of tax payable or refundable for each taxable period pursuant to paragraph (1), he/she shall do so on the basis of tax invoices, account books and other evidence:

1. Where there is no tax invoice, account books, and other evidence necessary for the calculation of the tax base, or important parts are incomplete;

2. Where the contents of tax invoices, account books, and other evidence are obviously false in light of the facility size, the number of employees, and the market price of raw materials, commodities, products, or various charges.

3. Where the contents of tax invoices, account books, and other documentary evidence are obviously false in light of the quantity of raw materials used, power used, and other operational conditions.

(2) Enforcement Decree of the Value-Added Tax Act

Article 48 (Calculation of Tax Base)

(1) The tax base under Article 13 (1) of the Act shall include any money, charge, fees, and all other monetary values in a quid pro quo relationship, regardless of the pretext thereof, received from a trader.

(9) Where an entrepreneur supplies food and accommodation services or personal services, and enters the service charges of employees (including free-work income earners) along with the price separately from the price in a tax invoice, receipt, credit card sales slip under Article 32-2 of the Act, etc., and it is confirmed that the service charges are paid to the employee concerned, the service charges shall not be included in the tax base: Provided, That the same shall not apply where the entrepreneur appropriates the service charges in his/her own income.

Article 69 (Methods of Estimation, Determination and Revision)

(1) Estimated amounts under the proviso to Article 21 (2) of the Act shall be as follows:

1. The method of calculating by way of a type of sphere with other partners in the same business, whose book keeping is deemed to be justifiable and whose report has not been corrected under the provisions of Article 21 (1) of the Act in good faith;

2. The method of calculating by applying the market price of the quantity supplied during the relevant taxable period to the output amount calculated by applying such ratio, where the Commissioner of the National Tax Service has investigated the input raw materials by business type;

3. Where the Commissioner of the National Tax Service has business efficiency determining the relationship between the quantity and value of human and material facilities (employee, guest rooms, places of business, vehicles, water supply, electricity, etc.) related to the business and the sales amount, the method of calculating by applying such business.

4. Calculation method by any of the following criteria determined by the Commissioner of the National Tax Service by type of business and by region:

(a) Input quantity per unit of won, which determines the relationship between the quantity of all or part of the raw materials and supplementary materials input for production and the quantity of production;

(b) A cost-related ratio which determines the relationship between all or part of the personnel expenses, rent, material expenses, water, mineral heat, and other operating expenses and sales;

(c) A commodities turnover rate which determines the relationship between the average stored amount during a fixed period and the sales amount or the sales price;

(d) A sales profit rate which determines the ratio of the sales to the gross sales profit during a fixed period;

(e) The value-added rate determined by the sales amount and value-added amount during a fixed period.

5. In cases where the ratio under subparagraphs 2 through 4 may be computed on the businessman subject to the determination and revision of estimation, the method of calculation by applying it thereto;

6. For food, accommodation and service business, which are mainly traded for end-consumers, the method of calculating according to the membership inspection criteria determined by the Commissioner of the National Tax Service.

(2) In calculating the payable tax amount under the provisions of paragraph (1), the input tax amount to be deducted shall be limited to those for which the entries therein are obvious after submitting the tax invoice delivered under Article 16 (1) and (3) of the Act to the chief of the competent tax office: Provided, That this shall not apply where the tax invoice delivered due to a calamity or force majeure is extinguished.

(iii)the Special Consumption Tax Act;

Article 1 (Taxable Object and Tax Rate)

(4) A place where special consumption tax is imposed on entertainment, eating and drinking (hereinafter referred to as "taxable entertainment place") and the tax rate therefor shall be as follows:

Amusement taverns, foreigner-only amusement restaurants, and other similar places;

10/100 of charges for entertainment and food;

(iv)Education Tax Act;

Persons falling under any of the following subparagraphs shall be liable to pay education tax pursuant to the provisions of this Act:

2. A taxpayer of special consumption tax under the provisions of the Special Consumption Tax Act; and