Requirements for Additional Taxation

In order to determine the tax base and the amount of income tax by the estimation method, the most reasonable and reasonable basis should be the basis for the determination of the tax base and the amount of income tax, and the fact that the taxpayer who filed a return on and paid the tax did not keep and keep the books is insufficient. Even if it is based on the evidence presented by the taxpayer and investigated it with the presentation of new materials, the estimation investigation may be made only when the tax base

Article 120 of the Income Tax Act, Article 169 of the Enforcement Decree of the Income Tax Act

Supreme Court Decision 83Nu528 Decided April 24, 1984

Plaintiff

Head of Yongsan Tax Office

Seoul High Court Decision 83Gu845 delivered on December 7, 1984

The appeal is dismissed.

The costs of appeal shall be borne by the defendant.

The grounds of appeal by the defendant litigant are examined.

According to the reasoning of the judgment below, the court below determined that the plaintiff was able to easily calculate the total amount of income based on the design cost ledger (Evidence No. 4-1, 2-5, 5-6) and the statement of money delivery (Evidence No. 5-5, 6-6) presented by the plaintiff simply because the plaintiff was engaged in the building design business, and was engaged in the building design business with the non-party in 1981, and the plaintiff did not keep the above non-party and the money delivery and design ledger, and did not keep necessary books in calculating the tax base, but there is no assertion as to the fact that the defendant pointed out the illegality of the production materials and requested the plaintiff to produce new materials. In addition, since the plaintiff's income was received as the construction design, the plaintiff's income can be easily calculated based on the design cost ledger (Evidence No. 4-1, 4-2) and the statement of money delivery (Evidence No. 5-6) presented by the plaintiff.

In addition, in order to determine the tax base and amount of global income tax based on the most reasonable and reasonable basis, and the fact that the reported taxpayer did not keep the account books alone is insufficient. Even if it is based on the data obtained by the taxpayer and conducted a new investigation, the decision can only be made when it is impossible to determine the tax base and amount of tax (see Supreme Court Decision 83Nu528, Apr. 24, 1984). Thus, the defendant's decision on the additional investigation of this case is unlawful since it does not meet the requirements.

The judgment of the court below to the same purport is just, and there is no error of law such as the theory of lawsuit.

Therefore, the appeal is dismissed, and the costs of appeal are assessed against the losing party. It is so decided as per Disposition by the assent of all participating Justices.

Justices O Sung-sung(Presiding Justice)