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1. The plaintiff's claim is dismissed.
2. The costs of lawsuit shall be borne by the Plaintiff.
Reasons
1. The following facts in the course of the disposition do not conflict between the parties, or can be acknowledged in full view of the purport of the entire pleadings in each of the evidence Nos. 1-6, 17, 36, and evidence Nos. 1, 4-6, 21-23.
DMD Co., Ltd. (hereinafter “DMD”), which is a domestic corporation, is a foreign-capital invested company jointly invested and established by domestic dairy farmers and Denmark Livestock Development Co., Ltd. (3DC) on September 20, 1985. The main business purpose of which is to manufacture and sell oil, yeast oil, yeast oil, butter and zz with domestic production milk as raw material.
B. As the attached investment structure as well as the attached Form of the investment structure, the Kacific LP (hereinafter “CVC Asian”) and the GLC (hereinafter “AI”) located in the Seoul Special Metropolitan City located in the United States of America established A (hereinafter “A”) as a Luxembourg-based corporation, a Luxembourg-based corporation (hereinafter “A”) by jointly investing 6.7% and 33.3%, respectively, in the proportion of 6.7% and 33.3% of the value of the property located in the United States of America, and again, the management of A and DM, a Belgium-based corporation (hereinafter “B”) was jointly invested on December 10, 199.
C. On December 21, 1999, B purchased all the shares issued by DIMD (hereinafter “instant shares”). On July 20, 2005, B sold them to the Plaintiff at KRW 17,000,000,000 again, and obtained gains on transfer of shares of KRW 12,374,617,464.
According to Article 98(1)4 of the former Corporate Tax Act (amended by Act No. 7837 of Dec. 31, 2005), the corporate tax amount to be withheld shall be the smaller of the amount equivalent to 10/100 of the amount paid or the amount equivalent to 25/100 of the income from transfer, whichever is less than the amount equivalent to 10/100 of the amount paid. According to the above provision, the amount of KRW 1,700,000 equivalent to 10/100 of the sales price of stocks is less than the amount of KRW 3,093,654,366, whichever is less than the amount equivalent to 25/100 of the gains on transfer, and
Therefore, the above amount of 17,00,000,000 won is subject to withholding.