Whether there is no officially assessed individual land price

The land whose land category has been changed due to the change of the form and quality, etc. from among the land without the officially assessed individual land price means the land before the new land category has been determined and publicly announced after the change of land category has been made due to the change of the form

Article 164 (Assessment of Standard Market Price of Land and Buildings)

1. The plaintiff's claim is dismissed.

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

The Defendant’s imposition of capital gains tax of KRW 91,139,790 against the Plaintiff shall be revoked.

1.Basics

A. The Plaintiff acquired ○○○○-dong, ○○-dong, ○○, ○○-○, 2,479 square meters (hereinafter “instant land”) prior to the division on ○○○○○○○, 196, but transferred the instant land to ○○○, 203. ○○, 2003. B along with the building mentioned below.

B. In the original case, from around 1970, there were 25.92 square meters and 20 square meters in a wooden cement and roof house from around 1970, and the Plaintiff was destroyed on ○○○○○○, 00.00.00.00.00.00, the Plaintiff completed the construction of a new building on a reinforced concrete building’s neighborhood living facility, 105 square meters in a house, 93 square meters in a house, and 66 square meters in a annexed building on the instant land.

C. On December 19, 1996, the instant land was divided into 00-○-○-○○-○○-dong, ○○-dong, ○○-dong, 329 square meters, 00 square meters, 511 square meters, 00-1 square meters, 294 square meters, and 00-○-○-○-○-dong, and 1,345 square meters, and its land category was changed.

D. The Plaintiff calculated acquisition value based on the individual land prices similar to each of the above lands at the time of filing the final return on capital gains on October 2004, the Plaintiff reported and paid KRW 13,358,760 on the basis thereof.

E. At the time of the Plaintiff’s acquisition on October 2004, the Defendant calculated the acquisition value of the instant land by applying KRW 89,200 per square meter as a publicly assessed individual land price. The Defendant calculated the transfer income tax amount of KRW 105,569,216 on the basis of the total acquisition value of new buildings listed in the above paragraph. The Defendant added KRW 11,57,397 to the additional tax, and additionally imposed and collected KRW 91,139,790 to the remainder of the transfer income tax after deducting the amount already paid by the Plaintiff (hereinafter “instant disposition”).

[Ground for Recognition] : Facts without dispute, Gap evidence 1 through 5, Gap evidence 9, Eul evidence 1 and 4

2. Whether the instant disposition is lawful

A. The plaintiff's assertion

(1) Although the land of this case was land category entered in the public register from around 1970, it was actually used as a site. Thus, since the land category of the cadastral law has not been changed due to changes in the form and quality of land or changes in the purpose of use, the land of this case constitutes the land without a publicly assessed individual land price, and thus the acquisition price should be calculated based on the appraisal price calculated by requesting the neighboring land which is similar to the formation factor to the appraisal agency of more than 2 appraisal agencies, the land of this case, which was calculated based on the publicly announced individual land price of the standard individual land of this case

(2) Although the ○○○ City selected a comparative standard site that is deemed to have similar usefulness because the present state of the instant land is the site, and should have determined the officially assessed individual land price of the instant land, it is unlawful to select a comparative standard site on the basis of only the land category on the account book and determine the officially assessed individual land price. The instant disposition, which calculated the acquisition price, is also unlawful.

(b) Related statutes;

As shown in the attached Form.

C. Determination

(1) Determination as to the assertion that the land of this case is no publicly assessed land price

According to the proviso of Article 9 (1) 1 (a) of the Income Tax Act (amended by Act No. 7837 of Dec. 31, 2005) and Article 164 (1) 3 of the Enforcement Decree of the same Act (amended by Presidential Decree No. 18075 of Oct. 19, 2005), with respect to the acquisition value to be deducted from transfer margin in calculating transfer margin, the value of the land without a publicly assessed land price as the land whose category has changed due to the change of land category due to the change of the form and quality or the change of use of the land shall be assessed by the comparison table that the land price is similar to the land price formation factor, such as the land category and the land category or the current use, as the standard land price. In this case, the head of the competent tax office may request two or more appraisal agencies to consider the appraisal price of the land. "land without a publicly notified individual land price" refers to the land category change due to the change of land category or form and quality of the land in the cadastral law.

(2) Determination as to the assertion that there was an error in calculating the officially assessed individual land price of the instant land

According to the relevant provisions of the former Act on the Publication of Land Prices and the Evaluation of Land Prices, etc., or the land price ratification table, etc., individual land price is calculated per unit area of one parcel of independent parcel of land in accordance with the overall characteristics of the relevant land. Thus, where the land of one parcel of land is mixed into several practical uses, the main use shall be determined in consideration of the area and value by usage, and where it is difficult to distinguish the main use from secondary use, the land price shall be calculated by dividing the usage which is higher into the main use, into the main use, and the overall individual land price of one parcel of land according to its characteristics: Provided, That the land of one parcel of land is calculated by weighted average method only in exceptional cases, such as where the land is divided into two or more specific use areas, or part of one parcel of land is designated as the urban planning facilities site, and it is difficult to distinguish the main use of the land of this case from the main use of the land of this case from the total land of this case 13, 15, 17 and 200.

3. Conclusion

Therefore, the disposition of this case is legitimate, and the plaintiff's claim for revocation is without merit, and it is dismissed. It is so decided as per Disposition.

public official law, order of law,

Income Tax Act (amended by Act No. 7837 of Dec. 31, 2005)

Article 97 (Calculation of Necessary Expenses in Transfer Income)

(1) In calculating gains on transfer of a resident, necessary expenses to be deducted from the transfer value shall be as follows:

1. Acquisition value:

(a) In case of assets as prescribed in Article 94 (1) 1 and 2, the standard market price at the time the assets are acquired: Provided, That in case where the assets concerned fall under any of subparagraphs of Article 96 (1), it shall be based on the actual transaction price required for the acquisition of such assets;

Article 99 (Computation of Standard Market Price)

(1) The standard market price pursuant to the main sentence of Article 96 (1), Article 97 (1) 1 (a), and Articles 100 and 114 (5) shall be determined by the following subparagraphs:

1. Land or buildings under the provisions of Article 94 (1) 1:

(a) Land;

The individual officially assessed land price under the Public Notice of Values and Appraisal of Lands, etc. Act (hereinafter referred to as the “individual assessed land price”): Provided, That the price of land for which no officially assessed individual land price exists, shall be that assessed by a method as determined by the Presidential Decree, taking into consideration the officially assessed individual land price of neighboring similar lands, and in other areas as

Enforcement Decree of the Income Tax Act (amended by Presidential Decree No. 18075 of Oct. 19, 2005)

Article 164 (Assessment of Standard Market Price of Land and Building)

(1) For the purpose of the proviso of Article 99 (1) 1 (a) of the Act, the term “amount appraised by such methods as determined by the Presidential Decree” means the value appraised by the chief of the district tax office having jurisdiction over the place of tax payment (where there is a difference between the chief of the district tax office having jurisdiction over the location of the relevant land and the chief of the district tax office having jurisdiction over the location of the relevant land, the said land) under the comparative table under Article 10 (2) of the Public Notice of Values and Appraisal of Lands, etc. Act, by deeming the neighboring land whose land price formation factors are similar, such as the land category and

3. Land whose land category has been changed due to changing the form and quality of land or change of use;

Cadastral Act

Article 2 (Definitions of Terms)

The definitions of terms used in this Act shall be as follows:

1. The term "cadastral record" means what falls under any of the following items:

(a) A land cadastre, forest register, a public land register, a housing site ownership register (hereinafter referred to as the "register"), a cadastral map, a forest map (hereinafter referred to as the "design"), and a boundary point coordinate register;

7. The term “land category” means that which is registered in the cadastral record by classifying the kinds of lands according to the principal usage;

17. The term “land category change” means a registration by changing a land category, which is registered in the cadastral record, into another one;

The Public Notice of Values and Appraisal of Land, etc. Act (before it is completely amended by the Public Notice of Values and Appraisal of Real Estate Act, Act No. 7335 of Jan. 14, 2005)

Article 10 (Application of Officially Assessed Land Price)

(1) Where the State, local governments, government-invested institutions under the Framework Act on the Management of Government-Invested Institutions, or other public organizations prescribed by Presidential Decree calculate the price of land for the following purposes, it shall maintain a balance between the price of the land and the officially announced price of the reference land on the basis of one or more officially announced values of reference land or