Transfer income from the acquisition date of the previous house to the date of acquisition of the newly-built house shall not be subject to special taxation.

When applying the provisions on reduction and exemption of capital gains tax on newly-built house acquired following the reconstruction of the previous house, capital gains tax on the date of acquisition of the previous house and the date preceding the date of acquisition of the newly-built house shall not constitute income subject to

Special Taxation for transfer income tax on the acquisitor of Newly-built houses under Article 99-3 of the Special Taxation Act;

2012Gudan28660 Revocation of Disposition of Imposing capital gains tax

Park AA

Samsung Head of Samsung Tax Office

January 22, 2015

February 5, 2015

1. The instant lawsuit shall be dismissed.

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

The Defendant’s imposition of capital gains tax of KRW 000 for the year 2009 against the Plaintiff on March 12, 2012 shall be revoked.

When an administrative disposition is revoked, such disposition shall lose its validity, and no longer exists, and a revocation lawsuit against a non-existent administrative disposition is unlawful as there is no benefit of lawsuit (see, e.g., Supreme Court Decision 2004Du5317, Sept. 28, 2006).

However, on December 23, 2014, when the lawsuit is pending, the fact that the Defendant voluntarily revoked the disposition of capital gains tax stated in the purport of the Plaintiff’s claim for revocation is apparent by the evidence No. 7 and the purport of the entire pleadings. As such, the instant lawsuit was sought for revocation of a disposition that is not extinguished and thus, became unlawful due to lack of legal interest.

The litigation of this case shall be dismissed, and the litigation costs shall be borne by the defendant pursuant to Article 32 of the Administrative Litigation Act.