Plaintiff 1 and the deceased non-party 1’s taking over the lawsuit (Attorney Park Jong-sik, Counsel for the plaintiff-appellant)

The director of the tax office

September 28, 2007

1. All of the plaintiffs' claims are dismissed.

2. The costs of lawsuit are assessed against the plaintiffs.

The Defendant’s imposition of global income tax of 35,973,890 won on May 22, 2006 against Plaintiff 1 and the deceased Nonparty 1 (hereinafter the Deceased), and of global income tax of 33,775,320 won on global income tax of 199 on June 21, 2006, and of 25,910,360 won on global income tax of 33,775,320 won on global income tax of 200, and 14,587,190 won on global income tax of 201, 8,786,410 won on global income tax of 202, and 6,805,605,60 won on global income tax of 203, and 6,29,30 won on global income tax of 204 on global income tax of 204.

1. Details of the disposition;

A. The Plaintiff 1 and the Deceased were married couple, with a 467.4 square meters wide and its ground (the second floor of the brick gate and the 130.58 square meters wide, the 2nd floor, the 106.45 square meters wide, the 11.57 square meters wide and the 11.57 square meters wide and the 66.57 square meters wide and the 2nd floor) in Jung-gu, Seoul.

B. The plaintiff 1 and the deceased were their directors from June 30, 1994, and provided them to the non-party 3 corporation whose representative director is the plaintiff 4 to use the above real estate free of charge until around 2004, but they did not report the tax base and tax amount of global income tax accordingly.

C. Accordingly, the Defendant applied Article 41 of the Income Tax Act (amended by Act No. 8144 of Dec. 30, 2006) with respect to real estate rental income to the Plaintiff 1 and the Deceased on May 22, 2006, subject to the provisions on the denial of unfair calculation of unfair calculation, imposed the disposition imposing the global income tax of 35,973,890 won on the Plaintiff and the Deceased on May 2, 2006, and the global income tax of 33,775,320 won on the occasional global income tax of 1999 on June 21, 2006, and the occasional global income tax of 25,910,360 won on the occasional global income of 200, and the occasional global income tax of 14,587,190 won on the global income of 201, 8,786,410 won on the global income tax of 202, 68630,639 won.

D. Meanwhile, after the date of the instant lawsuit, the deceased died on January 31, 2007, which was after the date of the instant lawsuit, and the litigants of the deceased are the inheritors of the deceased.

[Ground of recognition] Facts without dispute, Gap evidence Nos. 1 through 3, Eul evidence Nos. 1 and 2 (including above numbers), the purport of the whole pleadings

2. Judgment on the legality of the disposition

A. The plaintiffs' assertion

In imposing global income tax by applying Article 41 of the Income Tax Act (amended by Act No. 8144 of Dec. 30, 2006) with respect to the exclusion period for imposing national tax, Article 26-2 (1) 3 of the Framework Act on National Taxes shall apply. The exclusion period is five years. Among the disposition in this case, the imposition disposition of global income tax for the year 1998 of May 22, 2006 and the imposition disposition of global income tax for the year 1999 and 2000 of June 2006 shall take place after the exclusion period expires (in relation to the imposition disposition of global income tax for the year 2001 through 204, the grounds for illegality shall not be asserted separately).

B. Determination

According to Article 26-2(2) of the Framework Act on National Taxes, if a taxpayer fails to file a tax base return within the statutory due date of return, it cannot be imposed after the expiration of the seven-year period from the date on which the national tax is assessable, and the same applies to the application of the provisions on the calculation of unjust enrichment, such as the case. According to Article 70(1) of the Income Tax Act, the deadline for filing the tax base and tax amount of global income tax is from May 1 to 31 of the year following the year in which the relevant income is included. However, according to the above facts acknowledged, the imposition of global income tax for the year 198 through 200 is made within seven years from the date on which the Defendant is able to impose the comprehensive income tax on the rental income of the said real estate (6.1 of the day following the date on which the statutory return of global income tax was filed in the relevant year to which the relevant income tax

3. Conclusion

Thus, all of the plaintiffs' claims are dismissed.

Judges Ansan-chul (Presiding Judge)