Real estate in the designated area shall be calculated on gains from transfer based on actual transaction prices.

Real estate in the designated area shall be calculated on the basis of actual transaction value, but even if the designated area is located, the site area as a detached house does not exceed 170 square meters, the total floor area of a house does not exceed 85 square meters, and the standard market price at the time of transfer does not exceed

Article 94 of the Income Tax Act

Article 96 of the Income Tax Act

1. The plaintiff's claim is dismissed.

2. The costs of lawsuit shall be borne by the Plaintiff.

The imposition of capital gains tax of KRW 9,711,660 on the Plaintiff on October 5, 2007 by the Defendant shall be revoked.

1. Details of the disposition;

A. On June 28, 197, the Plaintiff acquired and owned a detached house on the ground of ○○○-dong 214-○○○, Seoul, ○○-dong (hereinafter “instant house”) and transferred it on September 21, 2006.

B. At the time of the transfer of the instant house, the standard market price under the provisions of Article 99 of the Income Tax Act was exceeded 100 million won, and the Plaintiff and the household members acquired a house other than the instant house and continued to have been more than one year, and the location of the instant house was designated as an area where the actual transaction price should be reported with respect to the instant house.

C. On November 30, 2006, the Plaintiff filed a preliminary return on the transfer income tax base based on the acquisition value and transfer value of the instant housing as the standard market price, and subsequently voluntarily paid KRW 5,833,590 accordingly.

D. However, the Defendant is the second household house on October 5, 2007, and the location of the instant house was designated as the designated area and exceeded 100 million won based on the standard market price of the instant house. As such, the Defendant deemed that the acquisition value and transfer value of the instant house should be calculated based on the actual transaction price, and determined and notified transfer income tax of KRW 9,71,660 calculated by such method to the Plaintiff.

[Ground of recognition] Unsatisfy, entry of Eul evidence 1, purport of whole pleadings

2. Whether the disposition is lawful;

① In light of the fact that the building of this case was completed on January 11, 1974 and its property value is no longer than 100 million won in terms of the closing price and only the value of the appurtenant land was assessed as 100 million won or more in terms of the standard market price, ② the Plaintiff inevitably transferred the housing for 33 years, ④ the Plaintiff owned the housing of this case, ④ the area where the housing of this case was located is uniformly designated as an area without possibility of speculation, and ⑤ the legislation was planned to return the grace period of 2 years for a temporary household, the Defendant’s disposition of this case based on the acquisition price and transfer price of the housing of this case as the actual transaction price is unlawful.

(b) Related statutes;

Article 94 of the Income Tax Act

Article 96 of the Income Tax Act

Article 104-2 of the Income Tax Act

C. Determination

According to Article 96 (2) 7 of the Income Tax Act (amended by Act No. 8852 of Feb. 29, 2008; hereinafter "the Income Tax Act"), where land and buildings are transferred until December 31, 2006, the transfer value shall be based on the standard market price at the time of transfer, but the "real estate within the designated area under Article 104-2 (2) of the Income Tax Act" shall be based on the actual transaction price for the "real estate within the designated area under Article 104-2 (2) of the Income Tax Act". Article 168-3 (3) 4 (c) of the Enforcement Decree of the Income Tax Act, which is delegated by Article 104-2 (2) of the Income Tax Act, provides that the house site area is less than 170 square meters and the total area of the house is less than 85 square meters, and the standard market price at the time of transfer is excluded from the real estate under Article 104-2

According to the above facts, this case’s housing was located within the designated area at the time of its transfer, but the standard market price at the time of its transfer exceeded 100 million won, and the total area was 123.8 square meters. Thus, this case’s housing does not fall under the subject of Article 168-3(3)4(c) of the Enforcement Decree of the Income Tax Act, and thus, the transfer price should be based on the actual transaction price pursuant to Article 96(2)7 of the Income Tax Act. Thus, the Defendant’s disposition by the same method is lawful. The Plaintiff’s above assertion is legitimate. The Plaintiff’s transfer price as well as the transfer price of housing should be assessed together, and the transfer price of appurtenant land should be assessed; ② the reasons why the transfer was made at the time of its imposition; ③ the circumstance that the housing was transferred while it was held for a long period of time is not the standard market price or the actual transaction price should be determined based on the transfer price, and ④ there is no illegality in the designation.

3. Conclusion

Therefore, the plaintiff's claim of this case cannot be accepted.