All appeals are dismissed.

The costs of appeal are assessed against the plaintiffs.

The grounds of appeal are examined.

1. As to the ground of appeal No. 1, Article 45-2(1) of the former Inheritance Tax and Gift Tax Act (amended by Act No. 9916, Jan. 1, 2010; hereinafter “former Inheritance Tax Act”) provides, “where the actual owner and the nominal owner are different from any other property (excluding land and buildings), the value of the property shall be deemed to have been donated to the actual owner on the date when the actual owner and the nominal owner are registered as the nominal owner (where the property requires a change of ownership, referring to the date following the end of the year following the year in which the date of acquisition of ownership falls), notwithstanding Article 14 of the Framework Act on National Taxes.” The proviso provides, “The same shall not apply to cases falling under any of the following subparagraphs.” Article 45-2(2) of the former Inheritance Tax and Gift Tax Act provides, “Where a property is registered in another person’s name without the purpose of avoidance or transfer of ownership, or where a transfer of ownership is not made in the actual owner’s name.”

The instant legal provisions aim to prevent the avoidance of taxes on the ground of the title trust, thereby achieving the tax justice and the balance of taxation. The legislative purpose of the instant legal provisions is justifiable, and imposing gift tax on the title trust with the purpose of tax avoidance is an appropriate means to achieve such legislative purpose.

It is to impose gift tax on title trust used as a means of tax avoidance.