Seoul High Court 2013Nu1548 (2013.07.31)

The filing of a corporate tax base return, accompanied by income statement prepared by excessive appropriation of labor costs, can not be deemed as tax evasion due to fraud or other unlawful acts.

Unless the inclusion of false account books is recognized in addition to the true account books, a simple false report, such as the attachment of income statement that includes excessive expenses at the time of corporate tax return, can not be deemed a deviation from the national tax by fraud or

In addition to the fact that the Plaintiff spent total labor cost of KRW 943,496,100 from February 2, 2003 to December 2, 2000, and entered the above expenditure details in the Plaintiff’s computer account book kept in the Plaintiff’s office’s office’s corporate tax for the business year 2003, it can be acknowledged that the attached statement included labor cost of KRW 1,061,795,50, unlike the actual expenditure details, and that the attached statement was reported by including labor cost of KRW 1,061,795,50, unlike the actual expenditure details. Further, the payment details of labor cost stated in the above computerized account book cannot be deemed to have been entered falsely in accordance with the evidentiary documents such as wage specifications, and if compared with the above mentioned contents, it can not be seen that the Plaintiff reported excessive appropriation of labor cost as above constitutes a simple false report, and it is difficult to view it as a national tax evasion due to fraud or other unlawful act under Article 26-2(1)1 of the Framework Act on National Taxes.

The exclusion period of national tax imposition under Article 26-2 of the Framework Act on National Taxes

2013Du17909 Revocation of Disposition of Imposing Corporate Tax, etc.

-Appellee

AA police officer, Inc.

-Appellant

Head of Seodaemun Tax Office

Seoul High Court Decision 2013Nu1548 Decided July 31, 2013

All appeals are dismissed.

The costs of appeal are assessed against each appellant.

Although the lower judgment was examined in light of the records of this case, it is recognized that the assertion on the grounds of appeal falls under Article 4 of the Act on Special Cases Concerning Procedure

Therefore, all appeals are dismissed pursuant to Article 5 of the above Act. It is so decided as per Disposition by the assent of all participating Justices on the bench.