District Court-2015-Gu Partnership-836 (Law No. 10, 2016.05.10)

Cho Jae-2013-2767 (No. 21, 2015)

It is possible to calculate the amount of major expenses included in the initial inventory as of the end of the taxable year, as of the end of the taxable year, in addition to the main expenses included in the initial inventory.

As of the end of the taxable year, major expenses included in the inventory assets as of the end of the taxable year can be separately calculated, the amount included in the basic inventory assets can also be calculated in accordance with the amended method.

Income Tax Act

2016Nu4736 global income and revocation of disposition

Kim O

O Head of tax office

August 25, 2017

September 29, 2017

1. The part of the judgment of the court of first instance against the plaintiff shall be revoked.

2. The Defendant’s disposition of imposition of the global income tax AAA for the year 201 against the Plaintiff on December 5, 2012 is revoked.

The disposition taken by the Defendant against the Plaintiff on December 5, 2012 against the Plaintiff on the imposition of the global income tax for the year 2008 and the global income tax for the year 2011 shall be revoked.

1. Details of the disposition;

This part of the judgment is the same as the corresponding part of the first instance court (2, 5, and 18), and thus, it shall be quoted in accordance with Article 8(2) of the Administrative Litigation Act and the main sentence of Article 420 of the Civil Procedure Act.

2. Whether the instant disposition is lawful

A. The plaintiff's assertion

This part of the judgment is the same as the corresponding part of the first instance court (from 3 pages 1 to 11). Thus, this part of the judgment is cited in accordance with Article 8(2) of the Administrative Litigation Act and the main sentence of Article 420 of the Civil Procedure Act.

B. Defendant’s assertion

If the Plaintiff does not know the initial acquisition value, which serves as the basis for the calculation of basic inventory assets, after several years of acquisition of real estate, the amount of income calculated by the formula cannot be calculated. In addition, in the event that there is no ground to prove the value of real estate under the Income Tax Act, it is reasonable to calculate the amount of income calculated by the formula. Nevertheless, in the case of global income tax attributed to year 201, the Plaintiff calculated the principal expenses by applying the sales of the basic inventory assets as the sales conversion amount. In the case of global income tax belonging to year 201, the revised announcement must be a case where the principal expenses included in the inventory assets as of the end of the taxable year can be separately calculated. However, there is no evidence to calculate the Plaintiff’s inventory assets as of the end of the taxable year. Therefore, there

(c) Related statutes;

This part of the judgment is identical to the corresponding part of the first instance court (section 8 through 11), except for the addition of the following matters, and thus, it shall be quoted in accordance with Article 8(2) of the Administrative Litigation Act and the main sentence of Article 420 of the Civil Procedure Act.

The following shall be added to the four upper parts at the bottom of the nine pages:

Article 95-2 of the former Enforcement Rule of the Income Tax Act (wholly amended by Ordinance of the Ministry of Strategy and Finance No. 265 of Feb. 28, 2012) (Special Cases concerning Evidence of Disbursement of Expenses, etc.)

The term "other cases prescribed by Ordinance of the Ministry of Strategy and Finance" in Article 208-2 (1) 9 of the Decree means any of the following cases:

6. Cases of receiving a supply of housing rental services from a person (excluding a corporation) who purchases land or housing, or carries on the housing rental business;

The following shall be added to the four upper parts at the bottom of the 11th page:

Article 5 (Types of Evidential Documents Related to Purchase Costs and Rent for Fixed Assets) Purchase costs and rent for fixed assets for business shall be objectively verified that the payment has been made or has been made by the following supporting documents:

1. A tax invoice, invoice, and credit card sales slip (including cash receipt);

2. Where the receipt of evidentiary documents referred to in the proviso to Article 160 (2) of the Income Tax Act, Article 208-2 of the Enforcement Decree of the same Act, and Article 95-2 of the Enforcement Rule of the same Act is not made, a receipt, etc. verifying the disbursement.

3. Where he/she fails to receive evidentiary documents under subparagraph 1 concerning purchase expenses and rent of fixed assets for business not falling under subparagraph 1 or 2, the amount submitted along with a detailed statement of expenditure attached to the final return of tax base of global income tax.

D. Determination

1) The reasoning of the judgment on imposition of global income tax for the year 201 is as follows, except for a partial revision or addition of the following, the corresponding part of the judgment of the first instance (from March 16 to May 5) is the same. As such, it shall be cited in accordance with Article 8(2) of the Administrative Litigation Act and the main sentence of Article 420 of the Civil Procedure Act.

The following shall be added at the lower end of the fourth page:

"The amount converted to the sale of basic inventory assets" in paragraph (3) of the revised Notification shall be reasonably accepted by the business operator unless the income tax is evaded intentionally.

"The amount of inventory assets sold in the relevant year may be deemed the amount of money."

○ 1 to 8 parallels shall be amended as follows:

The following facts may be acknowledged in light of the overall purport of the arguments in the statements in Gap 11, 12, 13, 15, and 16:

① The Plaintiff’s inventory value as of the end of the year 201 is the land AA, AA, A, A, 60-3, and 66-1.

② From this point of view, the Plaintiff acquired on August 24, 2009 land from AAri 60-1.

③ On March 14, 2007, the Plaintiff acquired 681/2,681 shares in the land AAri 66-1 (7-2 prior to the conversion) from Ariri 66-1, and on April 3, 2007, the Plaintiff acquired 2,000/2,681 shares in the land Briri 57-3 (7-10 shares prior to the conversion) and 294/1,483 shares in the land Criri 57-3 (7-10 shares prior to the conversion).

If acquisition price of shares, such as 2,000/2,681 shares, expressed in the above recognition facts, is divided based on the standard market price, the above 2,000/2,681 shares acquisition price shall be the AAA Member as listed below.

Therefore, the plaintiff's major expenses included in the inventory assets for the end of the year 201 fall under the case where it can be calculated as AAA, and as such, the main expenses included in the inventory assets as of the end of the taxable year can be separately calculated. Therefore, the amount included in the basic inventory assets can be calculated in accordance with Article 4 (3) of the amended Public Notice.

Therefore, in calculating the Plaintiff’s total income tax attributed to year 201, it is possible to calculate all of the basic inventory assets and major expenses included in the inventory assets at the end of the period. Therefore, the instant disposition taken on a different premise shall be revoked as unlawful.

2) Determination on global income tax for the year 2008

This part of the judgment of the court of first instance is identical to the corresponding part of the judgment of the court of first instance (from 5, 10 to 1 at the bottom of 6, respectively). Thus, this part of the judgment is cited in accordance with Article 8(2) of the Administrative Litigation Act and Article 420

3. Conclusion

Therefore, the plaintiff's claim shall be accepted on the ground of its reason. Since the part against the plaintiff among the judgment of the court of first instance against the plaintiff is unfair on the ground of its conclusion, it is revoked, and the corresponding part of the disposition of this case is revoked, and the defendant's appeal is