BASIC ACT FOR NATIONAL TAXES Act No. 2679, Dec. 21, 1974 Amended by Act No. 2925, Dec. 22, 1976 Act No. 2932, Dec. 22, 1976 Act No. 3097, Dec. 5, 1978 Act No. 3199, Dec. 28, 1979 Act No. 3471, Dec. 31, 1981 Act No. 3746, Aug. 7, 1984 Act No. 3754, Dec. 15, 1984 Act No. 3755, Dec. 15, 1984 Act No. 4177, Dec. 30, 1989 Act No. 4277, Dec. 31, 1990 Act No. 4561, Jun. 11, 1993 Act No. 4672, Dec. 31, 1993 Act No. 4743, Mar. 24, 1994 Act No. 4810, Dec. 22, 1994 Act No. 4981, Dec. 6, 1995 Act No. 5189, Dec. 30, 1996 Act No. 5193, Dec. 30, 1996 Act No. 5454, Dec. 13, 1997 Act No. 5579, Dec. 28, 1998 Act No. 5993, Aug. 31, 1999 Act No. 6070, Dec. 31, 1999 Act No. 6299, Dec. 29, 2000 Act No. 6303, Dec. 29, 2000 Act No. 6782, Dec. 18, 2002 Act No. 7008, Dec. 30, 2003 Act No. 7032, Dec. 31, 2003 Act No. 7329, Jan. 5, 2005 Act No. 7582, Jul. 13, 2005 Act No. 7796, Dec. 29, 2005 Act No. 7930, Apr. 28, 2006 Act No. 8139, Dec. 30, 2006 Act No. 8372, Apr. 11, 2007 Act No. 8521, Jul. 19, 2007 Act No. 8830, Dec. 31, 2007 Act No. 8860, Feb. 29, 2008 Act No. 9131, Sep. 26, 2008 Act No. 9263, Dec. 26, 2008 Act No. 9412, Feb. 6, 2009

The purpose of this Act is to ensure the legal relations pertaining to the national taxes, to promote the impartiality of taxation, and to contribute to the smooth performance of nationals’ liability for tax payment, by providing the fundamental and common matters concerning the national taxes and the procedures for protesting against any unlawful or unreasonable disposition of national taxes.

For the purpose of this Act, the definitions of the terms shall be as follows: <Amended by Act Nos. 2925 & 2932, Dec. 22, 1976; Act No. 3097, Dec. 5, 1978; Act No. 3471, Dec. 31, 1981; Act No. 3746, Aug. 7, 1984; Act No. 4177, Dec. 30, 1989; Act No. 4672, Dec. 31, 1993; Act No. 4743, Mar. 24, 1994; Act No. 4981, Dec. 6, 1995; Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998; Act No. 5993, Aug. 31, 1999; Act No. 6303, Dec. 29, 2000; Act No. 6782, Dec. 18, 2002; Act No. 7008, Dec. 30, 2003; Act No. 7329, Jan. 5, 2005; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>1. The term “national taxes” means any of the following taxes imposed by the State:(a) Income tax;(b) Corporation tax;(c) Deleted; <by Act No. 5579, Dec. 28, 1998>(d) Inheritance tax and gift tax;(e) Deleted; <by Act No. 7008, Dec. 30, 2003>(f) Deleted; <by Act No. 8521, Jul. 19, 2007>(g) Value-added tax;(h) Individual consumption tax;(i) Liquor tax;(j) Deleted; <by Act No. 6299, Dec. 29, 2000>(k) Stamp tax;(l) Securities transaction tax;(m) Education tax;(n) Transportation Energy Environment tax;(o) Special Tax for Rural Development; and(p) Comprehensive real estate holding tax;2. The term “tax-related Acts” means Acts by which the items and rates of the national taxes are determined, the National Tax Collection Act, the Special Tax Treatment Control Act, the Act for the Coordination of International Tax Affairs, the Tax Evasion Punishment Act and the Procedure for the Punishment of Tax Evaders Act;3. The term “collection of withholding taxes” means that any person responsible for collecting withholding taxes under tax-related Acts collects a national tax (excluding the additional tax related to it);4. The term “additional tax” means the amount collected in addition to the calculated tax amount under tax-related Acts in order to assure the faithful fulfillment of duties provided for in tax-related Acts: Provided, That additional dues shall not be included in it;5. The term “additional dues” means the amount collected in addition to the notified tax amount under the National Tax Collection Act, when a national tax is not paid within the term of payment, and the amount collected in addition to the said amount, when the national tax is not paid within a certain period of time after the fixed term of payment is expired;6. The term “disposition fee for arrears” means the expenses required for the attachment, safekeeping, transport and sale of any property (including commissions for its sale, if it is performed by any agent) pursuant to the provisions pertaining to the disposition for arrears of the National Tax Collection Act;7. The term “local taxes” means taxes as provided for in the Local Tax Act;8. The term “public charges” means the claims which can be collected pursuant to the disposition for arrears under the National Tax Collection Act other than the national taxes, customs, provisional import surtax, local taxes, and additional dues and disposition fees for arrears related thereto;9. The term “person liable for tax payment” means a person liable to pay national taxes under tax-related Acts (excluding an obligation to collect and pay the national taxes);10. The term “taxpayer” means a person liable for tax payment (including persons jointly and severally liable for tax payment, persons secondarily responsible for tax payment or guarantors, by undertaking a liability for payment on behalf of the taxpayer) and a person liable to collect and pay a national taxes under tax-related Acts;11. The term “person secondarily liable for tax payment” means a person liable to pay tax on behalf of the taxpayer, if the latter is unable to fulfill his liability for tax payment;12. The term “guarantor” means a person guaranteeing the payment by a taxpayer of any national tax, additional dues or disposition fee for arrears;13. The term “taxable period” means a period to be a basis for calculating the assessment standard of national tax under tax-related Acts;14. The term “tax base” means the quantity or value of a taxable object to be a direct basis for calculating the tax amount under tax-related Acts;15. The term “returns of tax base” means a return stating the tax base of a national tax and other matters necessary for payment and refund of the national tax;15-2. The term “revised returns of tax base” means returns with which to revise items in the tax base return filed originally;16. The term “legal term of return” means the term in which a tax base return is to be submitted under tax-related Acts;17. The term “tax officials” means the Commissioner of the National Tax Service, the director of the regional tax office, the head of the tax office or officials attached to those offices, and when a collector of customs takes charge of the affairs relating to the national tax under tax-related Acts, the customs collector or other officials attached to it and when a head of Si/Gun/Gu (referring to a head of an autonomous Gu; hereinafter the same shall apply) is entrusted with the collection of national taxes under the National Tax Collection Act, the competent heads of Si/Gun/Gu or other officials attached to them;18. The term “information and communications networks” means information and communications system to collect, process, store, search, send, or receive information through utilizing telecommunications facilities and equipment under subparagraph 2 of Article 2 of the Framework Act on Telecommunications or telecommunications facilities and equipment and computers as well as computer technologies; and19. The term “electronic returns” means returns made by means of the information and communications networks designated and publicly notified by the Commissioner of the National Tax Service (hereinafter referred to as the “national tax information and communications networks”), of the documents related to returns pursuant to this Act or other tax-related Acts, such as returns of tax base, etc.

(1) This Act shall precede other tax-related Acts in its application: Provided, That if other tax-related Acts prescribe any special-case provisions governing Section 1 of Chapter Ⅱ, Sections 2, 3 and 5 of Chapter Ⅲ, Section 2 of Chapter Ⅳ (limited to secondary persons liable for tax payment pursuant to Article 104-7 (4) of the Special Tax Treatment Control Act), Section 1, Article 45-2 of Section 2 and Section 3 (limited to the additional tax under Article 100-10 and 100-34 of the Special Tax Treatment Control Act) of Chapter Ⅴ, Articles 51 and 52 of Chapter Ⅵ, and Chapter Ⅷ of this Act, such other tax-related Acts shall prevail. <Amended by Act No. 3746, Aug. 7, 1984; Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998; Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006; Act No. 9131, Sep. 26, 2008>(2) If the Customs Act and the Act on Special Cases concerning the Refundment of Customs Duties, etc. Levied on Raw Materials for Export provide for special provisions to this Act with regard to national taxes levied and collected by the customs collectors, the special provisions of the above-mentioned Acts shall be applied. <Newly Inserted by Act No. 3746, Aug. 7, 1984; Act No. 8139, Dec. 30, 2006>

Except as otherwise provided in this Act or other tax-related Acts, the computation of a period as provided in this Act or other tax-related Acts shall be based on the Civil Act. <Amended by Act No. 8139, Dec. 30, 2006>

(1) If the expiration date of a term for any return, application, claim, presentation of documents, notification, payment or collection as provided by this Act or other tax-related Acts falls on a legal holiday, Saturday or Workers’ Day pursuant to the Designation of Workers’ Day Act, the expiration date of the term shall be the day following the holiday, Saturday or Workers’ Day. <Amended by Act No. 7930, Apr. 28, 2006>(2) Deleted. <by Act No. 7930, Apr. 28, 2006>(3) Where an electronic return or payment (referring to the payment of the national taxes and additional dues to be paid under this Act or other tax-related Acts by means of information and communications networks) is made impossible by a suspension of operation of the national tax information and communications networks due to the obstacle prescribed by Presidential Decree on the expiration date of a term of filing returns or making payment under this Act or other tax-related Acts, the expiration date of the term shall be the day following the date of overcoming the relevant obstacle, which makes such returns or payment possible. <Amended by Act No. 6782, Dec. 18, 2002>

(1) Where the returns of tax base, revised returns of tax base and requests for correction or the documents related to the return of tax base, revised return of tax base and request for correction are filed by mail, the filing shall be deemed to be made on the date of post mark pursuant to the Postal Service Act (if there is no post mark or the mark is illegible, the filing shall be deemed to be made on the date reasonably considered to be the sending date on the basis of the number of days ordinarily required for delivery by mail). <Amended by Act No. 7930, Apr. 28, 2006>(2) Where the returns, etc. of paragraph (1) are filed by means of national tax information and communications networks, they shall be deemed to be filed when they are put in the national tax information and communications networks. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 6782, Dec. 18, 2002>(3) Where returns are filed by electronic means under paragraph (2), with respect to the documents as prescribed by Presidential Decree among those related to the returns of tax base or the revised returns of tax base, the term of submission thereof may be extended up to ten days under the conditions as prescribed by Presidential Decree. <Newly Inserted by Act No. 6782, Dec. 18, 2002>(4) Detailed matters on the procedures, etc. for making returns of tax base, etc. by means of electronic returns shall be determined by Ordinance of the Ministry of Strategy and Finance. <Newly Inserted by Act No. 6303, Dec. 29, 2000; Act No. 8860, Feb. 2, 2008>[This Article Newly Inserted by Act No. 3746, Aug. 7, 1984]

(1) If it is deemed impossible to carry out any return, application, claim, presentation of document, notification, or payment as provided in this Act or other tax-related Acts, within a prescribed time limit, due to a natural disaster, terrestrial upheaval or other grounds prescribed in Presidential Decree, or if a request therefor is made on the part of the taxpayer concerned, the head of the competent tax office may extend the time limit under the conditions as prescribed by Presidential Decree. <Amended by Act No. 4810, Dec. 22, 1994; Act No. 6782, Dec. 18, 2002>(2) If the time limit for payment is extended under paragraph (1) above, the head of the competent tax office may demand a security equivalent to the amount to be paid, except for the instances prescribed by Presidential Decree. <Newly Inserted by Act No. 4810, Dec. 22, 1994; Act No. 6782, Dec. 18, 2002>

(1) In the event that any taxpayer falls under any of the following subparagraphs after the head of the competent tax office has extended the time limit for the payment of his national tax in accordance with Article 6, the head of such tax office may revoke the extension of the time limit for the payment of his national tax and collect his national tax without delay: <Amended by Act No. 8139, Dec. 30, 2006>1. When the tax payer fails to comply with a request from the head of the tax office for offering security, etc.;2. When the head of the tax office deems that it is impossible to collect the total amount of the national tax, the payment of which has been extended, from the tax payer by the extended time limit for the payment on the grounds that he falls under each of subparagraphs of Article 14 (1) of the National Tax Collection Act; and3. When the head of the relevant tax office deems that it is not necessary to extend the time limit for the payment of his national tax on the grounds of a change in the state of his property or other grounds prescribed by Presidential Decree.(2) When the head of the competent tax office revokes the extension of the time limit for the payment in accordance with paragraph (1), he shall notify the relevant taxpayer of such fact.[This Article Newly Inserted by Act No. 7008, Dec. 30, 2003]

In cases where the time limit for payment has expired before a notification of payment, a notice of payment, an urging note, or a notice of demand for payment arrives or where the time limit for payment expires within fourteen days from the date of such arrival, the time limit for the payment shall be fourteen days from the date of the arrival: Provided, That in cases where the time limit for payment has expired before the notice provided in Article 14 (2) of the National Tax Collection Act arrives, such time limit shall expire when such notice arrives, while where the time limit for payment expires after such notice has arrived, such time limit shall expire on the date of expiration as originally established. <Amended by Act No. 3471, Dec. 31, 1981; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>

(1) Documents as provided in this Act or other tax-related Acts shall be served on the domicile, residence, business office or premises [referring to electronic mail address (if stored in national tax information and communications networks, it means any address accessible by means of using an identification mark) in the case of service by means of information and communications networks (hereinafter referred to as the “electronic service”); hereinafter referred to as the “domicile or business office”] of the designated person (who is designated as the addressee on the documents; hereinafter the same shall apply). <Amended by Act No. 6782, Dec. 18, 2002>(2) In serving a document on the persons jointly and severally liable for tax payment, the designated person shall be the representative of them. Where there is no representative, the designated person shall be one against whom the collection of national tax may be made more conveniently: Provided, That documents for the notice and demand of tax payment shall be served on all of persons jointly and severally liable for tax payment. <Amended by Act No. 5189, Dec. 30, 1996>(3) When an inheritance has commenced and an administrator of the inherited property exists, documents shall be served on the domicile or business office of the administrator.(4) If there is a tax administrator, documents concerning notice and demand of the payment of tax shall be served on the domicile or business office of the tax administrator.

When any person to receive documents under Article 8 has reported to the Government a place to be served, either his domicile or business office under the conditions as prescribed by Presidential Decree, the documents shall be served on the reported place. When such place is changed, the same shall also apply.

(1) Documents under Article 8 shall be served by delivery, mail, or electronic service. <Amended by Act No. 6782, Dec. 18, 2002>(2) When any document relating to notification or demand of tax payment, disposition for arrears or order issued by the Government under tax-related Acts is served by mail, it shall be served by registered mail: Provided, That any tax payment notice on the amount of interim tax prepayment provided for in Article 65 (1) of the Income Tax Act and any tax payment notice that is served in order to collect tax in accordance with Article 18 (2) of the Value-Added Tax Act with its amount falling short of the amount set by Presidential Decree may be served by general mail. <Amended by Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006>(3) In case of service of a document by delivery, a public official belonging to the competent administrative agency shall deliver the document to a person to receive it at a place where it is to be delivered: Provided, That if the person to receive the document does not object, it may be delivered at another place.(4) In cases of paragraphs (2) and (3), if a person to receive a document is not present at the place where the document is to be served, it may be served to his employee and other workers or a person living together with the mental capability to make reasonable judgement; and if the person to receive the document, his employee and other workers or a person living together with the mental capability to make reasonable judgement refuses the receipt of document without reasonable grounds, the document may be left at the place where the document is to be served. <Amended by Act No. 5189, Dec. 30, 1996>(5) When a document is delivered under paragraphs (1) through (4), if a person to receive the document has moved his domicile or place of business, such move shall be confirmed by his resident registration card, and then the document shall be sent to the new address. <Amended by Act No. 8830, Dec. 31, 2007>(6) When a document is sent, the receiver shall sign and affix a seal on the delivery slip. In such cases, if the receiver refuses to do so, the fact shall be recorded additionally in the delivery slip.(7) When a document is served by ordinary mail, the head of the competent administrative agency shall prepare and keep a record to confirm the following matters:1. Title of the document;2. Name of the person to receive the document;3. Destination for service;4. Date of sending; and5. Main contents of the document.(8) The electronic service under paragraph (1) shall be rendered only by the request of the person to receive the document under the conditions as prescribed by Presidential Decree. <Newly Inserted by Act No. 6782, Dec. 18, 2002; Act No. 7930, Apr. 28, 2006>(9) Notwithstanding the provisions of paragraph (8), where it is impossible to render electronic service due to any obstacle to the national tax information and communications networks or where, otherwise, there is any cause prescribed by Presidential Decree, service by delivery or mail may be substituted for such electronic service. <Newly Inserted by Act No. 6782, Dec. 18, 2002>(10) Necessary matters for the detailed scope and service method of documents which may be provided in means of electronic service under paragraph (8) shall be prescribed by Presidential Decree. <Newly Inserted by Act No. 6782, Dec. 18, 2002>

(1) When a person who to receive a document falls under any of the following subparagraphs, the document is deemed to be delivered under Article 8, after the lapse of fourteen days from the date the summary of the document is publicly notified: <Amended by Act No. 3471, Dec. 31, 1981; Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998; Act No. 8830, Dec. 31, 2007>1. Where it is difficult to have the document delivered because his domicile or place of business is in a foreign country;2. Where his domicile or place of business is not ascertainable; or3. Where the document delivered by registered mail is returned because the person as prescribed by Article 10 (4) was not present at the place, as prescribed in Presidential Decree.(2) The public notification referred to in paragraph (1) shall be posted in the national tax information and communications network, tax offices and on the bulletin boards of Si/Gun/Gu (referring to an autonomous Gu; hereinafter the same shall apply) having jurisdiction over the place in which the document is to be served or other proper place or shall be listed in the Official Gazette or a daily newspaper. In this case, if the public notification is posted in the national tax information and communications network, other publication methods shall also be used. <Amended by Act No. 5189, Dec. 30, 1996; Act No. 7008, Dec. 30, 2003>

(1) Any document served under Article 8 shall take effect when it reaches the person who is liable to receive the document: Provided, That in the case of electronic service, such document shall be deemed to reach the person to receive the document when it is sent to the electronic mail address designated by such person (in the case of service by means of national tax information and communications networks, when it is stored therein). <Amended by Act No. 6782, Dec. 18, 2002>(2) Deleted. <by Act No. 7008, Dec. 30, 2003>

(1) To a corporate body, foundation or organization without legal personality (hereinafter referred to as an “organization without legal personality”) falling under any of the following subparagraphs, which does not distribute earnings to its members, this Act and other tax-related Acts shall apply deeming it as a juristic person: <Amended by Act No. 8830, Dec. 31, 2007>1. A corporate body, foundation or other organization which is established with permission or authorization of the competent governmental agency, or is registered with the competent governmental agency under Acts and subordinate statutes, but is not recorded on the register; and2. A foundation which holds any basic property contributed for the purpose of the public interest, but is not recorded on the register.(2) Where any organization without legal personality, other than a corporate body, foundation or other organization considered as a juristic person under paragraph (1), satisfies the following requirements and is approved by the head of the competent tax office upon a request of its representative or manager, this Act and other tax-related Acts shall also apply deeming such organization as a juristic person. In these cases, the continuity and homogeneity of such a corporate body, foundation or other organization shall be considered to be maintained:1. It shall have the rules relating to its organization and operation, with its representative or manager appointed;2. It shall independently own and manage revenue and property under its own account and name; and3. It shall not distribute its income to its members.(3) Any organization without a legal personality, which is considered as a juristic person under paragraph (2) above, shall not be changed to a resident during the period between the taxable period of the approval by the head of the competent tax office upon request and that which includes the day on which three years expire from the end of the said taxable period: Provided, That this shall not apply where the approval is cancelled, since it fails to meet the requirements as referred to in the subparagraphs of paragraph (2).(4) The liability for the national taxes of an organization without a legal personality, which is considered as a juristic person under paragraphs (1) and (2) (hereinafter referred to as “organization considered as juristic person”), shall be discharged by its representative or manager.(5) If the organization considered as a juristic person appoints or replaces its representative or manager to discharge its liability for the national taxes, it shall report to the head of the competent tax office, under the conditions as prescribed by Presidential Decree.(6) If no report is made under paragraph (5) above, the head of the competent tax office may designate one of the members or interested persons as the person who shall be responsible for discharging the liability for the national taxes.(7) Matters necessary for the application for and approval on the organization considered as a juristic person, delivery of tax payment number, etc., and cancellation of approval, shall be determined by Presidential Decree.[This Article Wholly Amended by Act No. 4810, Dec. 22, 1994]

(1) If any ownership of an income, profit, property, act or transaction which is subject to taxation, is just nominal, and there is another person to whom such income, etc., belongs, the latter person shall be liable for tax payment and tax-related Acts shall apply accordingly.(2) The provisions pertaining to the computation of tax base in the tax-related Acts shall be applied to a real income, profit, property, act or transaction, regardless of its title or form.(3) Where it is recognized as a method of receiving unjust benefit pursuant to this Act or tax-related Acts, such as an indirect method through a third party or a method of going through 2 or more activities or transactions, this Act or tax-related Acts shall apply deeming that the relevant parties have made direct transaction or have conducted an activity or transaction in succession according to the economic contents in essence. <Newly Inserted by Act No. 8830, Dec. 31, 2007>

Any taxpayer shall perform his liability in good faith and sincerity. The same shall apply to any tax officials in performing their duties.

(1) If any person liable for tax payment keeps and enters a book under tax-related Acts, the examination and determination of assessment standard of the national tax concerned shall be based on the book and related documentary evidence.(2) In examining and determining the national tax under paragraph (1), if the contents of entry of the book are different from the facts or there is any omission in the entry, only such a part may be determined in accordance with the facts examined by the Government.(3) When the Government examines and determines any fact different from the contents of entry or omission in the entry under paragraph (2), the fact examined and ground for determination by the Government shall be stated additionally in the determination note.(4) The chief of the administrative agency shall, upon a demand by the person liable for tax payment or his representative, permit him to inspect or transcribe the determination note as referred to in paragraph (3), or shall affirm that a transcript or extract of the note is identical to the original.(5) Any demand under paragraph (4) shall be made by oral statement: Provided, That if the chief of the administrative agency deems it necessary to do so, he may demand the signature of the person who inspects or transcribes it.

(1) If it is deemed necessary to accomplish the object of tax reduction or exemption or to implement a national policy, the Government may determine the range of employing funds or assets equivalent to the amount of tax to be reduced or exempted, under the conditions as prescribed in tax-related Acts.(2) The amount of tax reduced or exempted, to the extent of the amount equivalent to funds or assets not conforming to the range of employment under paragraph (1), may be collected under the conditions as prescribed in tax-related Acts after the revocation of the reduction or exemption.

(1) In interpreting and applying tax-related Acts, attention shall be paid so that property rights of a taxpayer shall not to be unreasonably damaged in the light of equity in taxation and fitness of the relevant provisions.(2) Any income, profit, property, act or transaction with a duty to pay the national tax already established (in cases of national tax for which the person responsible for collection is provided separately by a tax-related Act, the duty to collect and pay it; hereinafter the same shall apply) shall not be subject to taxation retroactively by a new tax-related Act enacted after such a duty is established. <Newly Inserted by Act No. 3746, Aug. 7, 1984>(3) Once any construction of the tax-related Act or practices in tax administration is accepted generally by the taxpayers, any act or computation according to such a construction or practice shall be considered to be correct, and no tax shall be imposed retroactively by a new construction or practice.(4) Deleted. <by Act No. 4672, Dec. 31, 1993>(5) In applying the provisions of paragraphs (1) through (3), any provisions of Acts other than tax-related Acts, that provide for imposition, collection, reduction, and exemption of the national taxes and procedures for them, shall be considered as those of the tax-related Acts. <Amended by Act No. 3746, Aug. 7, 1984; Act No. 8830, Dec. 31, 2007>

(1) The Ministry of Strategy and Finance shall have the Screening Committee on Established Rules for National Taxes for the interpretation of tax-related Acts, which meets the standards in Articles 18 (1) through (3).(2) Matters necessary for the establishment, organization and methods of operation of the Screening Committee on Established Rules for National Taxes, and the procedures for handling, methods, etc. of questions and answers concerning the interpretation of tax-related Acts under paragraph (1) shall be determined by Presidential Decree.[This Article Newly Inserted by Act No. 9263, Dec. 26, 2008]

In performing the duties of tax officials in their own discretion, the tax officials shall observe strictly the generally acceptable limitation in light of the equity of taxation and purpose of tax-related Acts.

In examining and determining the assessment standard of national taxes, standards or practices of corporate accounting which the person liable for tax payment adopts continuously and are generally recognized as reasonable and proper, shall be respected, except for cases as provided otherwise by the tax-related Acts.

(1) Liability to pay national taxes arises at the time as follows: <Amended by Act Nos. 2925 & 2932, Dec. 22, 1976; Act No. 3097, Dec. 5, 1978; Act No. 3471, Dec. 31, 1981; Act No. 3746, Aug. 7, 1984; Act No. 4177, Dec. 30, 1989; Act No. 4672, Dec. 31, 1993; Act No. 4810, Dec. 22, 1994; Act No. 5579, Dec. 28, 1998; Act No. 7329, Jan. 5, 2005; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>1. For income tax or corporation tax, when the period of taxation expires: Provided, That a liability to pay a corporation tax on any income in liquidation shall come into existence at the time when the juristic person concerned is dissolved (including the time when the juristic person is dissolved due to split-up or merger with any other juristic person after split-up) or merged;2. For inheritance tax, when inheritance begins;3. For gift tax, when property is acquired by gift;4. Deleted; <by Act No. 2925, Dec. 22, 1976>5. Deleted; <by Act No. 7008, Dec. 30, 2003>6. Deleted; <by Act No. 8521, Jul. 19, 2007>7. For value-added tax, when the taxable period is terminated, while in cases of imported goods, when the declaration of import is made to a customs collector;8. For individual consumption tax, liquor tax, or transportation energy environment tax, when a taxable item is carried out of the manufacturing place or sold at a selling place, or when anyone enters a taxable place or conducts an act for amusement, food and drink at a taxable amusement quarter: Provided, That in cases of an imported object, the tax liability shall come into existence when the declaration of import is made to a customs collector;9. Deleted; <by Act No. 6299, Dec. 29, 2000>10. For stamp tax, when a taxable document is prepared;10-2. For securities transaction tax, when transaction becomes finalized;10-3. For education tax, when it falls under any of the following items:(a) For education tax assessed on the national tax, when liability to pay a national tax comes into existence;(b) Deleted; or <by Act No. 6303, Dec. 29, 2000>(c) For education tax assessed on the revenue of financial and insurance businessmen, when taxable period is terminated;10-4. For Special Tax for Rural Development, when the liability to pay principal tax as prescribed in Article 2 (2) of the Special Tax Law for Rural Development, comes into existence;10-5. For comprehensive real estate holding tax, the base date of taxation; and11. For additional tax, when the liability to pay a national tax thereto arises.(2) Notwithstanding the provisions of paragraph (1), liability to pay the national taxes enumerated below shall come into existence at the time specified in the following subparagraphs: <Amended by Act No. 2932, Dec. 22, 1976; Act No. 3097, Dec. 5, 1978; Act No. 3471, Dec. 31, 1981; Act No. 4277, Dec. 31, 1990; Act No. 4672, Dec. 31, 1993; Act No. 5579, Dec. 28, 1998; Act No. 8830, Dec. 31, 2007>1. For income or corporation tax collected by withholding, when the amount of income or proceeds is paid;2. For income tax collected by a taxpayers’ association or paid by an estimated return, the last day of the month in which the amount of tax base occurs;3. For income or corporation tax prepaid intermediately or value-added tax for an estimated return period, when an intermediate prepayment period or estimated return period is terminated;4. For national tax collected by imposition whenever the occasion arises, when the cause for such imposition occurs; and5. Deleted. <by Act No. 6299, Dec. 29, 2000>(3) The date on which the national tax under each subparagraph of paragraph (1) may be levied shall be prescribed by Presidential Decree. <Newly Inserted by Act No. 4277, Dec. 31, 1990>

(1) The amount of a national tax shall be finally determined according to the procedure under the tax-related Acts concerned. <Amended by Act No. 2932, Dec. 22, 1976>(2) Notwithstanding the provisions of paragraph (1), the amount of the national tax enumerated below shall be finally determined without any special procedure, when the liability to pay such tax comes into existence: <Amended by Act No. 2932, Dec. 22, 1976>1. Deleted; <by Act No. 2925, Dec. 22, 1976>2. Stamp tax;3. Withholding income or corporation tax;4. Income tax collected by a taxpayers’ association; and5. Intermediately prepaid corporation tax (excluding cases when the Government examines and determines it under tax-related Acts).

(1) Any correction which causes an increase in a tax amount determined originally under tax-related Acts shall not affect the relation of rights and duties under such tax-related Acts, including this Act, with respect to such tax amount originally determined.(2) Any correction which causes a decrease in a tax amount determined originally under tax-related Acts shall not affect the relation of rights and duties under such tax-related Acts, including this Act, with respect to other tax amount than that decreased due to such correction.[This Article Newly Inserted by Act No. 6782, Dec. 18, 2002]

If juristic persons are merged, the one continuing to exist after merger or the one established newly due to the merger shall be liable to pay any national tax, additional dues and disposition fee for arrears which were imposed upon or, are to be paid by, the juristic person disappearing due to the merger.

(1) When an inheritance is commenced, the heirs (including testamentary donees; hereinafter the same shall apply) or any administrator of inherited property as provided for in Article 1053 of the Civil Act, shall be liable to pay national taxes, additional dues and disposition fee for arrears which were imposed upon or, the ancestor are to be paid by, within the limit of the value of property acquired by the inheritance. <Amended by Act No. 8139, Dec. 30, 2006>(2) In cases referred to in paragraph (1), if there are two or more heirs, each one shall be liable to pay jointly and severally national taxes, additional dues and disposition fees for arrears that were imposed upon the ancestor within the limit of the value of property acquired by the succession, or each of them was liable to pay within the limit of the amount computed in proportion to his portion under Articles 1009, 1010, 1012 and 1013 of the Civil Act. In this case, respective heirs shall determine the representative who will pay national taxes, additional dues and disposition fees for arrears of ancestors among the heirs concerned and make a report to the head of the competent tax office under the conditions as prescribed by Presidential Decree. <Amended by Act No. 4810, Dec. 22, 1994; Act No. 5579, Dec. 28, 1998; Act No. 8139, Dec. 30, 2006>(3) In cases referred to in paragraph (1), if the existence of an heir is not ascertained, any notification, demand and other necessary matters to be done for him, shall be done toward the administrator of inherited property.(4) In cases referred to in paragraph (1), if the existence of an heir is not ascertained and there is no administrator of inherited property, the head of the tax office may request the nomination of an administrator to the court having jurisdiction over the place where the inheritance is commenced.(5) In cases referred to in paragraph (1), any disposition or procedure carried out for an ancestor shall also have an effect on his heirs or on the administrator of inherited property.

(1) For any national tax, additional dues and disposition fees for arrears related to a jointly-owned property or enterprise or any property belonging to such enterprise, the owners of such property or enterprise shall be liable to pay them jointly and severally. <Amended by Act No. 8139, Dec. 30, 2006>(2) If a juristic person splits up or is merged with any other juristic person after split-up, the following juristic persons shall jointly bear the liability to pay national taxes, additional dues and disposition fees for arrears which are imposed on the split juristic person or of which payment liability occurs thereto on or prior to the date of such split-up or merger after split-up: <Newly Inserted by Act No. 5579, Dec. 28, 1998>1. A split juristic person;2. A juristic person established due to split-up or merger with any other juristic person after split-up; and3. Where part of a split juristic person is merged with any other juristic person and the other juristic person exists, the other juristic person (hereinafter referred to as the “existent mergee of the split juristic person”).(3) If a juristic person is dissolved due to split-up or merger with any other juristic person after split-up, the following juristic persons shall be jointly and severally liable to pay national taxes, additional dues and disposition fees for arrears which are imposed on the dissolved juristic person or which it has to pay: <Newly Inserted by Act No. 5579, Dec. 28, 1998>1. A juristic person established due to split-up or merger with any other juristic person after split-up; and2. An existent mergee of the split juristic person.(4) Where a juristic person establishes a new company pursuant to the provisions of Article 215 of the Debtor Rehabilitation and Bankruptcy Act, the new company shall be jointly and severally liable to pay the national tax, additional dues and disposition fees for arrears, which have been imposed or the liability of which comes into being to the existing juristic person. <Newly Inserted by Act No. 7930, Apr. 28, 2006>

The provisions of Articles 413 through 416, 419, 421, 423 and 425 through 427 of the Civil Act shall apply mutatis mutandis to the joint and several liability to pay any national tax, additional dues and disposition fees for arrears under this Act or other tax-related Acts. <Amended by Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>[This Article Newly Inserted by Act No. 4810, Dec. 22, 1994]

Any liability to pay a national tax, additional dues or disposition fee for arrears shall become extinct, if falling under any of the following subparagraphs: <Amended by Act No. 3746, Aug. 7, 1984; Act No. 4810, Dec. 22, 1994; Act No. 5189, Dec. 30, 1996>1. When the payment or appropriation is completed or the imposition is cancelled;2. When the period in which a national tax may be assessed under Article 26-2, expires without any assessment; and3. When an extinctive prescription of the right to collect a national tax is completed under Article 27.

(1) Any national tax shall not be assessed after the period in the following subparagraphs expires: Provided, That where a mutual agreement procedure is in progress according to the provisions of the treaty concluded for the prevention of double taxation (hereinafter referred to as a “tax treaty”), the provisions of Article 25 of the Act for the Coordination of International Tax Affairs shall apply: <Amended by Act No. 4810, Dec. 22, 1994; Act Nos. 5189 & 5193, Dec. 30, 1996; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. If a taxpayer evades any national tax, or has it refunded or deducted, by fraudulent or other unlawful means, for ten years from the date on which the national tax is assessable;2. If a taxpayer fails to file a written tax base return within the legal return term, for seven years from the date on which the national tax is assessable;3. If a taxpayer does not fall under subparagraphs 1 and 2 above, for five years from the date on which the national tax is assessable;4. Notwithstanding the provisions of subparagraphs 1 through 3, in cases of an inheritance tax or gift tax, for ten years from the date on which it is assessable: Provided, That it shall be fifteen years from the day on which it is assessable, in any of the following cases:(a) Where the taxpayer evades the inheritance tax or gift tax, or has it refunded or deducted by fraudulent or other unlawful means;(b) Where the written return is not filed under Articles 67 and 68 of the Inheritance Tax and Gift Tax Act; and(c) Where a person who has filed the written return under Articles 67 and 68 of the Inheritance Tax and Gift Tax Act, makes a false or omitted return as prescribed by Presidential Decree (limited to the portion which is reported falsely or omitted); and5. If deficit carried forward is deducted under Article 45 (2) of the Income Tax Act, or under subparagraph 1 of Article 13, Article 76-13 (1) 1 or 91 (1) 1 of the Corporation Tax Act in the taxable period after the taxable period to which the expiry date of the period referred to in subparagraphs 2 and 3 belongs, notwithstanding subparagraphs 2 and 3, for one year from the legal term of return for the taxable period in which deficit carried forward was deducted, in cases of an income tax or corporation tax of the taxable period in which the deficit concerned has occurred.(2) Notwithstanding the provisions of paragraph (1), a decision of correction or other necessary disposition may be made according to the relevant decision, judgment or mutual agreement or upon the request for correction before one year elapses from the date when a decision or judgment pursuant to subparagraph 1 becomes final or when mutual agreement pursuant to subparagraph 2 terminates or before two months elapse from the date when a request for correction pursuant to subparagraph 3 is filed: <Amended by Act No. 4672, Dec. 31, 1993; Act No. 5189, Dec. 30, 1996; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. When a decision or judgment is made on the objection, or the request for review or trial, as prescribed in Chapter Ⅶ, the request for examination as prescribed by the Board of Audit and Inspection Act, or the litigation as prescribed by the Administrative Litigation Act;2. When an application for mutual agreement is made pursuant to the provisions of the tax treaty, and a mutual agreement is reached, within three years (where a tax treaty provides it differently, such provisions shall prevail) after the day on which the existence of the measure, which was the cause of the imposition of tax in violation of the tax treaty, is known; and3. When a request for correction pursuant to Article 45-2 (2) or pursuant to Article 19 (4) of the Act for the Coordination of International Tax Affairs is filed.(3) Notwithstanding paragraph (1), in cases where the fact of lending title has been made clear at the decision or judgment in paragraph (2) 1, a disposition of imposition to the lender of title may be revoked, and a decision of correction or other necessary dispositions may be made to the person who has actually operated the business within one year from the date when the decision or judgment becomes final. <Newly Inserted by Act No. 8830, Dec. 31, 2007>(4) Where a taxpayer evades inheritance tax or gift tax by fraudulent or other unlawful means, and where it falls under any of the following subparagraphs, the inheritance tax and gift tax may, notwithstanding the provisions of paragraph (1) 4, be levied within one year from the date on which the inheritance or gift of the relevant property is known: Provided, That this shall not apply in cases where a successor (including a devisee) or a donor and a donee die and where the property value which is a basis for calculating the amount of evaded tax (referring to the total sum of values of properties falling under one of the following subparagraphs) is not more than five billion won: <Newly Inserted by Act No. 6070, Dec. 31, 1999>1. Where a successor or donee possesses the property of the inheritee or donor concerned under a title of third party, or a conversion by real name is made under his name;2. Where a property to be acquired by the deceased under a contract has been acquired by a successor because a registration, register or entry of a change of holders was not achieved as the inheritance began during the period of contract execution;3. Where an inherited or gifted property located overseas has been acquired by a successor or donee; and4. Where an inherited or gifted property such as securities, paintings and writings, curios, etc., for which a registration, register or entry of a change of holders is not required, has been acquired by a successor or donee.(5) The date on which any national tax as referred to in the subparagraphs of paragraph (1) may be assessed, shall be determined by Presidential Decree. <Newly Inserted by Act No. 4277, Dec. 31, 1990>[This Article Newly Inserted by Act No. 3746, Aug. 7, 1984]

(1) Any right of the State to collect national taxes shall be extinguished by prescription, if it is not exercised for five years from the time it is exercisable.(2) Except as provided otherwise by this Act or other tax-related Acts, the provisions of the Civil Act shall be applied to the extinctive prescription as referred to in paragraph (1) above. <Amended by Act No. 8139, Dec. 30, 2006>(3) The time when the State can exercise its rights to collect national taxes as referred to in paragraph (1) shall be determined by Presidential Decree. <Newly Inserted by Act No. 4277, Dec. 31, 1990>

(1) Extinctive prescription under Article 27 shall be interrupted by the causes enumerated below:1. Notification on tax payment;2. Urging or demand notice of payment;3. Request for delivery; and4. Attachment.(2) Extinctive prescription interrupted under paragraph (1) above shall resume when the period specified in the following subparagraphs expires: <Amended by Act No. 8830, Dec. 31, 2007>1. Notified period of payment;2. Period fixed by urging or demand notice of payment;3. Period specified in the request for delivery; and4. Period until the cancellation of attachment.(3) Extinctive prescription under Article 27 shall not be run during the period of an installment payment, deferment of collection and disposition of tax in arrears or yearly installment payment as prescribed by tax-related Acts, or during the period for which a lawsuit for the cancellation of a fraudulent act filed by a tax official is pending pursuant to Article 30 of the National Tax Collection Act. <Amended by Act No. 3471, Dec. 31, 1981; Act No. 3746, Aug. 7, 1984; Act No. 8139, Dec. 30, 2006>(4) The suspension of extinctive prescription due to a lawsuit for the cancellation of a fraudulent act filed under paragraph (3) shall lose its effect when the lawsuit is rejected, dismissed or withdrawn. <Newly Inserted by Act No. 8139, Dec. 30, 2006>

Security to be offered under tax-related Acts (hereinafter referred to as “security for tax payment”) shall be any of the following: <Amended by Act No. 4561, Jun. 11, 1993>1. Money;2. National or local bonds;3. Securities which the head of tax office (where a customs collector takes charge of the affairs pertaining to the national tax under tax-related Acts, the customs collector; hereinafter the same shall apply) confirms to be reliable;4. Insurance policy for guarantee of tax payment;5. Written guarantee of any guarantor which the head of tax office confirms to be reliable;6. Land; and7. Insured and registered building, factory or mining foundation, vessel, aircraft or construction machines.

Value of any security for tax payment shall be appraised on the basis of the following: <Amended by Act No. 2925, Dec. 22, 1976; Act No. 4561, Jun. 11, 1993; Act No. 4672, Dec. 31, 1993; Act No. 7008, Dec. 30, 2003>1. For a national or local bond, the current price;2. For securities, the value as determined by the Presidential Decree;3. For an insurance policy for guarantee of tax payment, the insurance amount;4. For a written guarantee of tax payment, the amount guaranteed; and5. For any land, building, factory or mining foundation, vessel, aircraft or construction machinery, the value as determined by the Presidential Decree.

(1) Any person who desires to offer any money or securities as security for tax payment, shall deposit it and present the receipt of depositionto the head of tax office: Provided, That in cases of any registered national or local bond or a registered corporation debenture, the purport to offer security shall be registered, and the certificate of registrationshall be presented.(2) Any person who desires to offer an insurance policy for guarantee of tax payment or written guarantee of tax payment as security for tax payment, shall present the insurance policy or written guarantee to the head of tax office.(3) Any person who desires to offer land, building, factory or mining foundations, vessel, aircraft or construction machines as security for tax payment, shall present the certificate of its registration to the head of tax office, who shall thereby initiate a procedure of registration for the establishment of mortgage. <Amended by Act No. 4561, Jun. 11, 1993>

(1) Any person who offered security for tax payment, may change the security with the approval of the head of tax office.(2) If the head of tax office deems that an offered security is insufficient to secure the payment of any national tax, additional dues and disposition fees for arrears owing to a reduction in the value of the security for tax payment or reduction in financial resources of the guarantor, he may demand the offerer of the security to submit an additional security or replacement of guarantor.

(1) Any person who offered money as security for tax payment, may pay the secured national tax, additional dues and disposition fee for arrears with the money.(2) If any national tax, additional dues and disposition fee for arrears for payment for which security is offered, is not settled within the period of such security, the head tax office shall collect the tax, charge and fee from the security under the conditions as prescribed by the Presidential Decree.

When any national tax, additional dues and disposition fee for arrears for payment for which security is offered, are settled, the head of tax office shall initiate, without delay, a procedure for release of the security.

(1) National taxes, additional dues or disposition fee for arrears shall be collected in preference to other public charges or obligations: Provided, That this shall not apply to cases falling under any of the following: <Amended by Act No. 3746, Aug. 7, 1984; Act No. 4277, Dec. 31, 1990; Act No. 4672, Dec. 31, 1993; Act No. 5454, Dec. 13, 1997; Act No. 6782, Dec. 18, 2002; Act No. 8139, Dec. 30, 2006; Act No. 8327, Apr. 11, 2007; Act No. 8830, Dec. 31, 2007>1. In cases of a disposition for arrears of any local tax or public charge, if any national tax, additional dues or disposition fee for arrears is collected from the amount of disposition for arrears, the additional dues or disposition fee for arrears of such local tax or public charge;2. In cases of selling property through the procedure for compulsory execution, public auction or bankruptcy, if any national tax, additional dues or disposition fee for arrears is collected from the proceeds of selling, the expenses required for such procedure;3. In cases of a sale of the property for which the fact that the establishment of the right of lease on deposit basis, the pledge right or the mortgage was registered before the date falling under any of the following items (hereinafter referred to as “legal term”), is proved under the conditions as prescribed by Presidential Decree, if any national tax or additional dues (excluding any national tax and additional dues imposed on the property) is collected from the proceeds of sale, the obligation secured by the right of lease on deposit basis, the pledge right or the mortgage:(a) If the liability to pay any national tax (including the corporation tax prepaid intermediately and value-added tax paid by estimated return) is determined by the return of the tax base and tax amount, the date on which such return is filed;(b) If the Government determines, corrects, or imposes and determines as needed, a tax base and tax amount, the date on which the payment notice is sent out;(c) Notwithstanding the provisions of items (a) and (b) above, if any national tax or stamp tax is to be collected from persons liable for withholding such taxes or a taxpayers’ association, the date on which the liability to pay such taxes is determined;(d) If any national tax is to be collected from the property of the secondary person liable for payment of the tax (including any guarantor), the date on which the notice of payment as prescribed in Article 12 of the National Tax Collection Act is sent out; and(e) If any national tax is to be collected from any transfer-secured property, when the notice of payment as prescribed in Article 13 of the National Tax Collection Act is sent out; and(f) If the taxpayer’s property is seized under Article 24 (2) of the National Tax Collection Act, for the tax amount finally determined in connection with such seizure, when the seizure is registered, regardless of the provisions of items (a) through (e);<This subparagraph is amended by Act No. 4277 on December 31, 1990 following the decision of unconstitutionality made by the Constitutional Court on September 3, 1990>4. Where the national tax or the additional dues are collected from the amount of sale of leased residence or building to which Article 8 of the Housing Lease Protection Act or Article 14 of the Commercial Building Lease Protection Act is applied, the claims to a specified amount of the deposit money for the lease which the lessee may be paid preferentially under the said Article; and5. Where the national tax or the additional dues are collected from an amount of sale of, or collection from the employer’s property, thewages, retirement allowance, accident compensation, or other claims derived from employment, which has a priority in payment to thenational tax and additional dues under Article 38 of the Labor Standards Act.(2) In cases of attaching property registered provisionally (including cases being recorded provisionally; hereinafter the same shall apply) for the purpose of preserving a claim for transfer rights on the basis of a preengagement for payment in substitutes, in which the person liable for tax payment shall be one responsible for registration, and any default shall be the condition precedent, or for the purpose of other similar security, if the principal registration on the basis of this provisional one is effectuated after the attachment, the person having a right to the provisional registration shall not claim any right based on the provisional registration against a disposition for arrears to the property: Provided, That in cases of property registered provisionally before the legal term of the national tax or additional dues (excluding the national tax and the additional dues imposed upon the property), this provision shall not be applicable. <Newly Inserted by Act No. 3471, Dec. 31, 1981; Act No. 4277, Dec. 31, 1990><This paragraph is amended by Act No. 4277 on December 31, 1990 following the decision of unconstitutionality made by the Constitutional Court on September 3, 1990>(3) When the head of tax office attaches or sells by auction any provisionally registered property as provided for in paragraph (2), he shall notify immediately the person having the right to the provisional registration. <Newly Inserted by Act No. 3471, Dec. 31, 1981>(4) If it is deemed difficult to collect the national tax or additional dues from any proceeds of the sale of a property because the taxpayer enters falsely into a contract to establish a right of lease on deposit basis, the pledge right or the mortgage as prescribed in paragraph (1) 3, a contract to effect a provisional registration as prescribed in paragraph (2), or a contract to establish a security for transfer as prescribed in Article 42 (2), on the property in conspiracy with a third person and then register such contract, the head of tax office may request a cancellation of such acts to the court. In these cases, if the taxpayer enters into such contract with a relative or person having any special relation as determined by Presidential Decree within one year before the legal term of national tax, the contract shall be presumed as a false one entered into in conspiracy with another person. <Newly Inserted by Act No. 4277, Dec. 31, 1990>(5) The term “national tax imposed on the property” in the provisions with the exception of each item of paragraph (1) 3 and the proviso of paragraph (2) means the inheritance tax, gift tax, and comprehensive real estate holding tax from among national taxes. <Newly Inserted by Act No. 7008, Dec. 30, 2003; Act No. 7329, Jan. 5, 2005>

(1) When any property of a taxpayer is attached by a disposition for arrears with payment of national tax, if a delivery of other national tax, additional dues, disposition fee for arrears or local tax is requested, the national tax, additional dues or disposition fee for arrears related to the attachment shall be collected in preference to others requested for delivery.(2) When any property of a taxpayer is attached by a disposition for arrears with payment of local tax, if a delivery of national tax, additional dues or disposition fee for arrears is requested, the national tax, additional dues, and disposition fee for arrears requested for delivery shall be collected in the order next to the local tax related to the attachment.

When security for tax payment is sold, the national tax, additional dues or disposition fee for arrears shall, notwithstanding the provisions of Article 36, be collected from the proceeds of selling, in preference to other national tax, additional dues, disposition fee for arrears and local tax.

(1) When a juristic person is dissolved, and its residual property is divided or transferred without paying national tax, additional dues or disposition fee for arrears which was imposed upon it or which the juristic person is liable to pay, if it is insufficient to pay the amount to be collected even after the execution of the disposition for arrears to it, a liquidator or a person who participated in the division or transfer of the residual property shall be subject to a secondary liability for tax payment with regard to the shortage.(2) The secondary liability for tax payment under paragraph (1) shall be limited to the value of divided or transferred property for a liquidator, and that of shared property for each person to whom a portion of the property is divided or transferred.

(1) If the whole property of a juristic person (excluding a juristic person whose stocks are listed in the securities market pursuant to Article 9 (13) 1 of the Capital Market and Financial Investment Business Act) is not sufficient for appropriating the national tax, additional dues and disposition fee for arrears which were imposed upon it or which the juristic person is liable to pay, any person who falls under any one of the following subparagraphs as of the date of the occurrence of the liability to pay the national tax, shall be subject to the secondary liability for tax payment with regard to the shortage: Provided, That in case of an oligopolistic stockholder as prescribed in subparagraph 2, the shortage shall be limited to the amount calculated by multiplying that given by dividing it by the total issued stocks (excluding nonvoting stocks; hereafter the same shall apply in this Article) or investments of the juristic person concerned by the number of stocks (excluding nonvoting stocks) or the amount of investments (in case of an oligopolistic stockholder as prescribed in subparagraph 2 (a) and (b), the number of stocks or the amount of investments to which he actually exercises the rights) of an oligopolistic stockholder: <Amended by Act No. 4672, Dec. 31, 1993; Act No. 5579, Dec. 28, 1998; Act No. 7930, Apr. 28, 2006; Act No. 8139, Dec. 30, 2006; Act No. 9263, Dec. 26, 2008>1. A partner with unlimited liability; and2. An oligopolistic stockholder who falls under any one of the following items:(a) A person who actually exercises the rights to more than 50/100 stocks or shares out of the total issued stocks or investments of the juristic person concerned;(b) The honorary group chairman, group chairman, president, vice-president, managing director, executive director, director, and a person who actually controls the operation of the juristic person concerned, regardless of its title; or(c) A spouse (including a person who has a de facto matrimonial relationship) of any person as prescribed in items (a) and (b), and a lineal ascendant or descendant who lives together with him.<This subparagraph 2 of paragraph (1) was amended by Act No. 5579 on December 28, 1998 following the decision of unconstitutionality made by the Constitutional Court on May 8, 1998>(2) For the purpose of paragraph (1) 2, the term “oligopolistic stockholder” means a person who is a relative or has other special relations with a stockholder or partner with limited liability as prescribed by the Presidential Decree, and the total share of its stocks or investment is more than 50/100 (hereinafter referred to as the “oligopolistic stockholder”) of the total issued stocks or investment of the juristic person concerned. <Newly Inserted by Act No. 4672, Dec. 31, 1993; Act No. 5579, Dec. 28, 1998; Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006>

(1) If the whole property (excluding stocks issued or shares invested by the juristic person) owned by the partners with unlimited liability or oligopolistic stockholders (hereinafter referred to as the “contributors”) of a juristic person at the expiration of the term to pay the national tax(if there are two or more national taxes, the one payment term of which comes later), is not sufficient to discharge the national tax, additional dues and disposition fee for arrears that are to be paid by the investors, the juristic person shall be subject to the secondary liability to pay the shortage within the limit of the value of stocks owned or shares invested by the contributors, only in cases falling under any of the following subparagraphs:1. Even if the Government intends to sell the stocks owned or shares contributed by the contributors by auction or private contract, but no one desires to buy them; and2. When the transfer of stocks owned or shares contributed by the contributors are restricted by a law or the articles of incorporation of the juristic person.(2) The secondary liability for tax payment of a juristic person under paragraph (1) shall be limited to the amount computed by dividing thevalue after deducting the total amount of its debts from the total amount of its assets, by the total amount of its issued stocks or investment, and then multiplying the quotient by the amount of stocks owned or the investment by the contributors.

(1) When an enterprise is transferred, if the property of the transferor is insufficient to discharge the national tax, additional dues and disposition fee for arrears to the enterprise, for which the liability of the transferor for tax payment becomes final before the transfer is made, the transferee of the enterprise as prescribed by the Presidential Decreeshall assume the secondary liability for tax payment with respect to such insufficient amount, within the limit of the value of the transferred property.(2) The value of the transferred property as referred to in paragraph (1) shall be determined by the Presidential Decree.[This Article Wholly Amended by Act No. 4672, Dec. 31, 1993]

(1) When a taxpayer fails to pay any national tax, additional dues or disposition fee for arrears, if he has property transferred for security, the national tax, additional dues and disposition fee for arrears may be collected from such property under the conditions as prescribed in the National Tax Collection Act, only in case where there is a shortage in the amount to be collected after the execution of a disposition for arrears to its other properties: Provided, That for the property transferred for security which has been established prior to the legal term to pay the national tax, this shall not be applicable. <Amended by Act No. 4277, Dec. 31, 1990; Act No. 8139, Dec. 30, 2006>(2) The term “property transferred for security” in paragraph (1) means the property substantially becoming the object of security for an obligation to the transferor, when a taxpayer transfers the property by a contract between the parties concerned.

(1) Return on tax base shall be submitted to the head of tax office having jurisdiction over the place where the national tax is paid at the time of return: Provided, That in case of an electronic return, it may be made to the director of a regional tax office or the Commissioner of the National Tax Service. <Amended by Act No. 5993, Aug. 31, 1999>(2) Even if the return has been submitted to the head of tax office other than the competent authority as referred to in paragraph (1) above, the validity of the return shall not be adversely affected.

A decision or decision of correction on the tax base and amount of the national tax shall be made by the head of tax office having jurisdiction over the place where the national tax shall be paid at the time of disposal.

(1) Any person (including persons who fall under Article 73 (1) 1 through 8 of the Income Tax Act) who has filed a written tax base return within the legal return term may file a revised tax base return until the head of the competent tax office determines or corrects and notifies the tax base and the tax amount of the national tax pursuant to the provisions of tax-related Acts, in the following cases: <Amended by Act No. 4810, Dec. 22, 1994; Act No. 6303, Dec. 29, 2000; Act No. 8830, Dec. 31, 2007>1. Where the tax base and tax amount entered in the tax base return is short of those to be returned under the tax-related Acts;2. Where the deficit amount or refundable tax amount entered in the tax base return exceeds the deficit amount or that to be refunded under the tax-related Acts; and3. Where incomplete returns are made due to the causes prescribed by Presidential Decree such as an ommission in the course of exact calculation by a person responsible for collecting withholding taxes, tax adjustment, etc. other than subparagraphs 1 and 2 (excluding cases where request for correction, etc. under Article 45-2 may be filed).(2) Deleted. <by Act No. 4810, Dec. 22, 1994>(3) Matters to be mentioned in a revised return of tax base and procedure of return shall be determined by Presidential Decree.[This Article Wholly Amended by Act No. 3199, Dec. 28, 1979]

(1) Any person who has filed a tax base return within the legal return term may request the head of the competent tax office within 3 years after the elapse of legal return term (in cases where a decision or correction is made pursuant to tax-related Act, it refers to the period for objection or request for examination or adjudgment) to decide or correct the tax base and tax amount (in cases where a determination or correction is made pursuant to tax-related Acts, it refers to tax base and tax amount after such decision or correction is made) of the national tax that is first returned or is first returned after revision when it falls under any of the following subparagraphs: <Amended by Act No. 6303, Dec. 29, 2000; Act No. 7008, Dec. 30, 2003; Act No. 7582, Jul. 13, 2005; Act No. 8830, Dec. 31, 2007>1. Where the tax base and tax amount entered in the tax base return (referred to the tax base and tax amount after the decision or correction is made, if such decision or correction is made pursuant to the tax-related Acts), exceed those to be returned under the tax-related Acts; and2. Where the deficit amount or refundable tax amount entered in the tax base return (referred to the deficit amount or refundable tax amount after the decision or correction is made, if such decision or correction is made pursuant to the tax-related Acts), is short of the deficit amount or refundable tax amount to be returned under the tax-related Acts.(2) Any person who has filed the tax base return within the legal return term, or who has the tax base and tax amount of the national tax decided upon, may request the decision or correction within two months from the date of knowing that the cause has occurred, regardless of the period as referred to in paragraph (1) above, in the following cases: <Amended by Act No. 6303, Dec. 29, 2000; Act No. 8830, Dec. 31, 2007>1. Where the transaction or act, etc. which is the ground of calculation of the tax base and tax amount in the initial return, decision or correction, becomes a different one by a final judgment (including any reconciliation or other act having the same effect as the judgment) in the lawsuit against it;2. Where there is decision or correction converting the ownership of the income or other taxable object to a third person;3. Where the mutual agreement which is made under a tax treaty is carried out differently from the contents of the initial return, decision or correction;4. Where the tax base and tax amount of the national tax returned initially for the taxable period other than that which is the object of the decision or correction, exceed the tax base and tax amount to be returned under the tax-related Acts, due to such decision or correction; and5. Where the cause similar to those as referred to in subparagraphs 1 through 4 above, and as prescribed by Presidential Decree, occurs after the legal return term of the national tax expires.(3) The head of tax office shall, upon receiving a request for decision or correction under paragraphs (1) and (2), decide or correct the tax base and tax amount, or notify the person filing such request of the fact that there is no reason to make any decision or correction, within two months after he receives such request.(4) The provisions of paragraphs (1) through (3) shall apply mutatis mutandis to any earner of the income falling under Article 73 (1) 1 through 8 of the Income Tax Act or subparagraphs 1, 2, 4 through 8, and 11 through 13 of Article 119 of the Income Tax Act or the income generated from sources in Korea falling under subparagraphs 1, 2, 4 through 6, and 9 through 11 of Article 93 of the Corporation Tax Act (hereafter referred to as the “person liable to pay a withholding tax” in this paragraph and Article 52) if he falls under any of the following subparagraphs. In this case, “any person who files his tax base return within the legal return term” in the provisions with the exception of each subparagraph of paragraphs (1) and (2) shall be deemed the “person liable to withhold an income tax at source or the person liable to pay a withholding tax who submits his payment record within the fixed submission deadline in accordance with Articles 164 and 164-2 of the Income Tax and Articles 120 and 120-2 of the Corporation Tax Act after paying his income tax through the year-end adjustment of his income tax or withholding his income tax at source”, “after the lapse of the legal return deadline” in the part other than the subparagraphs of paragraph (1) shall be deemed “after the lapse of the legal payment deadline for the tax amount of year-end adjustment or the amount of the tax withheld at source”, the “tax base and the tax amount entered in the tax base return” in paragraph (1) 1 shall be deemed the “tax base and tax amount entered in the receipt of the tax withheld at source” and the “loss amount or the refunded amount entered in the tax base return” in paragraph (1) 2 shall be deemed the “refunded tax amount entered in the receipt of the tax withheld at source”, respectively: <Newly Inserted by Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. Where any person who is liable to withhold taxes at source pays his income tax as a result of his year-end adjustment made in accordance with Articles 137, 138, 143-4 and 144-2 of the Income Tax Act and submits his payment record within the submission deadline in accordance with Article 164 or 164-2 of the same Act;2. Where any person who is liable to withhold taxes at source pays his income tax that is collected at source in accordance with Articles 146 and 156 of the Income Tax Act and submits his payment record within the submission deadline in accordance with Article 164 or 164-2 of the same Act; or3. Where any person who is liable to withhold taxes at source pays his corporation tax that is collected at source in accordance with Article 98 of the Corporation Tax Act and submits his payment record within the submission deadline in accordance with Article 120 or 120-2 of the same Act.(5) Matters necessary for the request for decision or correction and the procedure of notification thereof, shall be determined by Presidential Decree.[This Article Newly Inserted by Act No. 4810, Dec. 22, 1994]

(1) Any person who has failed to file a tax base return within the legal return term may file the tax base return after the term, prior to the notification of tax base and tax amount (including the additional taxes under this Act and the tax-related Acts; hereafter the same shall apply in this Article) of the relevant national tax determined by the head of the competent tax office pursuant to the tax-related Acts: Provided, That this shall not apply to the revaluation return pursuant to Article 15 of the Assets Revaluation Act. <Amended by Act No. 8139, Dec. 30, 2006>(2) Any person who has filed a tax base return after the term pursuant to paragraph (1) and has a payable tax amount in accordance with the tax-related Acts shall pay the tax amount simultaneously with the filing of the tax base return after the term. <Amended by Act No. 8139, Dec. 30, 2006>(3) The head of the competent tax office shall, where a tax base return after the term is filed pursuant to paragraph (1) (limited to the cases where the payable tax amount is paid), determine the tax base and tax amount of the relevant national tax pursuant to the tax-related Acts. <Amended by Act No. 8139, Dec. 30, 2006>(4) Matters necessary for the stated items on and the return procedures for a tax base return after the term shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 5993, Aug. 31, 1999]

(1) When a taxpayer submits a revised return on tax base as prescribed by Article 45, with regard to the national tax for which a tax amount equivalent to the amount of tax base return is to be paid voluntarily under tax-related Acts, if the tax amount already paid is less than that equivalent to the amount of the revised return on the tax base, he shall pay the shortage and additional taxes determined by this Act or other tax-related Acts, at the time when the revised return on tax base is submitted. <Amended by Act No. 3199, Dec. 28, 1979; Act No. 5993, Aug. 31, 1999; Act No. 8139, Dec. 30, 2006>(2) If any person who is to pay additionally a national tax under paragraph (1) above does not pay it, the provisions of Article 48 (2) 1 shall not be applicable. <Newly Inserted by Act No. 3199, Dec. 28, 1979; Act No. 8139, Dec. 30, 2006>(3) Any person who has filed a return on tax base within the legal return term but failed to pay the whole or part of the tax amount equivalent to the amount of return on tax base, may pay the relevant tax amount and the additional tax determined by this Act or other tax-related Acts, prior to the notification from the head of tax office. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8139, Dec. 30, 2006>

(1) Where the tax amount on which a person liable for tax payment has filed a return pursuant to tax-related Acts, or of which a tax authority has notified after decision or correction is not exceeding the amount prescribed by Presidential Decree, it may be paid by credit card, debit card, etc. (hereafter in this Article referred to as “credit card, etc.”) through a national tax payment agency prescribed by Presidential Decree.(2) Where national taxes are paid by credit card, etc. pursuant to paragraph (1), the date of approval from the national tax payment agency shall be deemed as the date of payment.(3) Matters regarding the kinds of national taxes that can be paid by credit card, etc. pursuant to paragraph (1), designation and operation of national tax payment agencies, fee for vicarious payment, etc. shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 8830, Dec. 31, 2007]

(1) The Government may impose an additional tax upon the person defaulting the obligation as prescribed in a tax-related Act, under the conditions as provided in this Act or other tax-related Acts. <Amended by Act No. 8139, Dec. 30, 2006>(2) Additional tax shall be an item of the national tax as may be determined by the tax-related Acts prescribing the obligation concerned: Provided, That in cases of reducing or exempting relevant national tax, the additional tax shall not be included in such a reduced or exempted national tax. <Amended by Act No. 8139, Dec. 30, 2006>

(1) Where a taxpayer (excluding the person who is exempted from the duty of paying taxes pursuant to Article 29 of the Value-Added Tax Act) fails to submit a tax base return pursuant to tax-related Acts within the legal term of return, an amount (hereafter referred to as an “additional tax amount on general non-filing” in this paragraph) equivalent to 20/100 of the tax amount calculated in accordance with the tax-related Acts (including both a corporation tax on the transfer income of land, etc. under Article 55-2 of the Corporation Tax Act in case of a corporation tax and the additional dues under Article 27 or 57 of the Inheritance Tax and Gift Tax Act in case of the inheritance tax and gift tax, respectively, and referring to the tax amount to be paid under Articles 17 and 26 (2) ofthe Value-Added Tax Act in case of a value-added tax; hereafter referred to as a “calculated tax amount” in this Section) shall be added to the tax amount to be paid or deducted from the tax amount to be refunded: Provided, That where a person subject to double-entry bookkeeping (hereafter referred to as a “person subject to double-entry bookkeeping” in this Section) or a corporation as prescribed by Presidential Decree fails to submit a tax base return on the income tax or corporation tax, an amount equivalent to 20/100 of the calculated tax amount or an amount obtained by multiplying the amount of revenue by 7/10,000, whichever is larger, shall be added to the amount of the income tax or corporation tax to be paid or deducted from the tax amount to be refunded. <Amended by Act No. 8830, Dec. 31, 2007>(2) Notwithstanding the provisions of paragraph (1), where there is a tax base (referring to the tax amount to be paid under Articles 17 and 26 (2) of the Value-Added Tax Act in case of a value-added tax; hereafter referred to as a “tax base” in this Section) not returned by using an unjust manner (referring to any such manner as prescribed by Presidential Decree that a taxpayer violates his duty to return the tax base of the national tax or the tax amount by covering up or assuming all or part of a fact that constitutes the basis for the tax base of the national tax or for the calculation of the tax amount; hereafter the same shall apply in this Section), an amount obtained by adding the amount provided for in any of the following subparagraphs shall be added to the tax amount to be paid or deducted from the tax amount to be refunded:1. For the amount of additional tax on a tax base not returned in an unjust manner: An amount (hereafter referred to as the “additional tax amount on unjust non-filing” in this paragraph) equivalent to 40/ 100 of an amount obtained by multiplying the ratio that an amount corresponding to a tax base not returned by using an unjust manner (hereafter referred to as the “unjustly non-filed tax base” in this paragraph) accounts for in the total tax base by the calculated tax amount: Provided, That where a person subject to double-entry bookkeeping or a corporation fails to submit a tax base return on the income tax or corporation tax, it shall be the additional tax amount on unjust non-filing or an amount obtained by multiplying the revenue amount related to a tax base not returned in an unjust manner (hereafter referred to as the “unjustly non-filed revenue amount” in this paragraph) by 14/10,000, whichever is larger; and2. For the amount of additional tax on the portion other than that referred to in subparagraph 1: An amount equivalent to 20/100 of an amount obtained by multiplying the ratio that an amount corresponding to a tax base less an unjustly non-filed tax base accounts for in the total tax base by the calculated tax amount: Provided, That where a person subject to double-entry bookkeeping or a corporation fails to submit a tax base return on the income tax or corporation tax, it shall be an amount equivalent to 20/100 of an amount obtained by multiplying the ratio that an amount calculated by deducting an unjustly non-filed tax base from the total tax base accounts for in the total tax base by the calculated tax amount or an amount obtained by multiplying the revenue amount other than an unjustly non-filed revenue amount by 7/10,000, whichever is larger.(3) Where an income tax has been withheld from the income amount not returned, the amount of such income tax shall be deducted, in the application of paragraph (1), from the calculated tax amount, and, in the application of paragraph (2), from an amount obtained by multiplying the aforesaid ratio by the calculated tax amount under subparagraph 2 of the same paragraph.(4) Where there is no corporation tax on the liquidation income, the proviso of paragraph (1) and the provisos of subparagraphs of paragraph (2) shall not apply.(5) Where paragraph (1) or (2) applies together with Article 81 (8) or 115 of the Income Tax Act or Article 76 (1) of the Corporation Tax Act, only the larger of the calculated additional tax amounts shall be applicable, and if the calculated additional tax amounts are the same, only the additional tax provided for in paragraph (1) or (2) shall be applicable. <Amended by Act No. 8830, Dec. 31, 2007>(6) Where paragraphs (1) and (2) applies to the portion on which an additional tax is levied in relation to the scheduled return under Article 18 of the Value-Added Tax Act, additional tax related to the final return under Article 19 of the said Act shall not be imposed, and additional tax shall not be imposed in cases where it is corrected by the head of the relevant tax office pursuant to the proviso to Article 17-2 (3) of the same Act. <Amended by Act No. 8830, Dec. 31, 2007>(7) The scope of the revenue amount, the calculation of the unjustly non-filed revenue amount and other matters necessary for the imposition of the additional tax on non-filing shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

(1) Where a taxpayer (excluding the person who is exempted from the duty of paying taxes pursuant to Article 29 of the Value-Added Tax Act) has submitted a tax base return pursuant to tax-related Acts within the legal term of return, but the reported tax base is short of the tax base to be declared pursuant to the tax-related Acts, an amount (hereafter referred to as an “additional tax amount on general understated return” in this paragraph) equivalent to 10/100 of an amount obtained by multiplying the ratio that an amount corresponding to the underreported tax base accounts for in the total tax base by the calculated tax amount shall be added to the tax amount to be paid or deducted from the tax amount to be refunded: Provided, That this shall not apply to the cases prescribed by Presidential Decree, such as correction by the head of the competent tax office pursuant to the proviso to Article 17-2 (3) of the same Act. <Amended by Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>(2) Notwithstanding the provisions of paragraph (1), where a tax base is underreported in an unjust manner, an amount obtained by adding up the amount provided for in any of the following subparagraphs shall be added to the tax amount to be paid or deducted from the tax amount to be refunded: <Amended by Act No. 8830, Dec. 31, 2007>1. For the amount of additional tax on a tax base underreported in an unjust manner: An amount (hereafter referred to as the “additional tax amount on unjustly underreported return” in this paragraph) equivalent to 40/100 of an amount obtained by multiplying the ratio that an amount corresponding to a tax base underreported in an unjust manner (hereafter referred to as the “unjustly underreported tax base” in this paragraph) accounts for in the total tax base by the calculated tax amount: Provided, That where a tax base on the income tax or corporation tax reported by a person subject to double-entry bookkeeping or a corporation is short of the tax base on the income tax or corporation tax to be declared pursuant to tax-related Acts, it shall be the additional tax amount on unjust understated return or an amount obtained by multiplying the revenue amount related to a tax base underreported in an unjust manner (hereafter referred to as the “unjustly underreported revenue amount” in this Article) by 14/10,000, whichever is larger; and2. For the amount of additional tax on the portion other than that referred to in subparagraph 1: An amount equivalent to 10/100 of an amount obtained by multiplying the ratio that a tax base less the unjustly underreported tax base accounts for in the amount equivalent to underreported tax base by the calculated tax amount.(3) The provisions of Article 47-2 (3), (5) and (6) shall apply mutatis mutandis with respect to the imposition of the additional tax on understated return.(4) Necessary matters concerning the imposition of the additional tax on understated return including the calculation of the unjustly underreported revenue amount shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

(1) Where a taxpayer has submitted a tax base return pursuant to tax-related Acts within the legal term of return, but declares the tax amount subject to payment by return pursuant to the tax-related Acts as the tax amount to be refunded to the taxpayer or the refunded tax amount declared by the taxpayer exceeds the refunded tax amount to be declared pursuant to the tax-related Acts, an amount equivalent to 10/100 of the tax amount declared for refund or of the tax amount excessively declared for refund shall be added to the tax amount to be paid or deducted from the tax amount to be refunded. In this case, where there is a tax amount to be paid by the taxpayer in spite of the return of such refund, Article 47-3 shall apply, considering that the tax payer has underreported the tax amount: Provided, That it is corrected by the head of the relevant tax office pursuant to the proviso of Article 17-2 (3) of the Value-Added Tax Act, this shall not apply. <Amended by Act No. 8830, Dec. 31, 2007>(2) Notwithstanding the provisions of paragraph (1), where there is a tax amount excessively declared for refund in an unjust manner, an amount obtained by adding the amount provided for in any of the following subparagraphs shall be added to the tax amount to be paid or deducted from the tax amount to be refunded:1. The amount of additional tax on a tax amount excessively declared for refund in an unjust manner: An amount equivalent to 40/ 100 of the tax amount excessively declared for refund in an unjust manner; and2. The amount of additional tax on the portion other than that referred to in subparagraph 1: An amount equivalent to 10/100 of the tax amount excessively declared for refund other than that so declared in an unjust manner.(3) The provisions of Article 47-2 (5) and (6) shall apply mutatis mutandis with respect to the imposition of the additional tax on over-refunding return.[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

(1) Where a taxpayer fails to pay a national tax within the term of payment pursuant to tax-related Acts or the paid tax amount is short of the tax amount to be paid, an amount calculated by applying the following formula shall be added to the tax amount to be paid or deducted from the tax amount to be refunded: Provided, That where a stamp tax is not paid in violation of Article 8 (1) of the Stamp Tax Act or the paid tax amount is short of the tax amount to be paid, it shall be 300/100 of the unpaid tax amount or of the shortage:The unpaid tax amount or the shortage × The period from the next day of the time limit of payment through the voluntarily paid date or the day of notification of payment × The interest rate prescribed by Presidential Decree in consideration of the interest rates, etc. that the financial institutions apply to overdue loans.(2) Where the tax amount refunded to the taxpayer is in excess of the tax amount to be refunded pursuant to the tax-related Acts, an amount calculated by applying the following formula shall be added to the tax amount to be paid or deducted from the tax amount to be refunded:The excessively refunded tax amount × The period from the next day of the refunded day through the voluntarily paid date or the day of notification of payment × The interest rate prescribed by the Presidential Decree in consideration of the interest rates, etc. that the financial institutions apply to overdue loans.(3) The provisions of paragraph (1) shall not apply in the case of falling under any one of the following subparagraphs: <Amended by Act No. 8830, Dec. 31, 2007>1. Where an additional tax is imposed in accordance with Articles 158 and 159 of the Income Tax Act;2. Where an additional tax is imposed in accordance with Articles 76 (2) and 98 (2) and (3) of the Corporation Tax Act;3. Where an additional tax is imposed in accordance with Article 34 (2) of the Value-Added Tax Act; or4. Where it is corrected by the head of the relevant tax office pursuant to the proviso to Article 17-2 (3) of the Value-Added Tax Act.(4) The unpaid tax amount or the shortage in the formula referred to in paragraph (1) and the excessively refunded tax amount in the formula provided in paragraph (2) shall be calculated by including the additional amount corresponding to the interest to be paid by being added to the income tax and corporation tax pursuant to the Corporation Tax Act or the Special Tax Treatment Control Act. <Amended by Act No. 8830, Dec. 31, 2007>(5) In the application of paragraph (1) or (2), with respect to the portion on which an additional tax is levied in relation to the scheduled return and payment in accordance with Article 18 of the Value-Added Tax Act, the additional tax related to the final return and payment under Article 19 of the said Act shall not be imposed.[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

(1) Where an additional tax is to be imposed under this Act or any other tax-related Act, if the cause of such imposition corresponds to the cause for extending the term under Article 6 (1) or the taxpayer has any justifiable grounds for non-fulfillment of the obligation concerned, the Government shall not impose the additional tax.(2) In the case of falling under any of the following subparagraphs, the Government shall reduce or exempt an amount equivalent to 50/100 of the additional tax imposed pursuant to this Act or any other tax-related Act: Provided, That in cases under subparagraph 1, an amount equivalent to 50/100 shall be reduced or exempted when a revised return is filed within six months from the expiry of the legal term of return; an amount equivalent to 20/100, within one year but more than six months therefrom; and an amount equivalent to 10/100, within two years but more than one year therefrom: <Amended by Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. Where a revised return is filed pursuant to Article 45 within two years after the legal term of return elapses (limited to the additional tax referred to in Articles 47-3 and 47-4, and in Article 22 (7) of the Value-Added Tax Act, except in cases where he files the revised return of tax base with a prior knowledge that the initial tax base and amount would be corrected);2. Where a return after the term is filed pursuant to Article 45-3 within one month after the legal term of return elapses (limited to the additional tax referred to in Articles 47-2);3. Where a decision on pre-taxation review and the notification thereof are not made in violation of Article 81-12 within the fixed period (limited to the additional tax referred to in Article 47-5 imposed with respect to the period for which such decision and notification are delayed); and4. Where the duty of the submission, return, joining, registration or establishment pursuant to the tax-related Acts (hereafter referred to as “submission, etc.” in this subparagraph) is fulfilled in compliance with the tax-related Acts within one month after the term of such submission, etc. elapses (limited to an additional tax is imposed pursuant to tax-related Acts for the violation of the duty of such submission, etc.).(3) Any person who wishes to have an additional tax reduced or exempted under paragraph (1) or (2) may file an application therefor under the conditions as prescribed by Presidential Decree.[This Article Wholly Amended by Act No. 8139, Dec. 30, 2006]

(1) Any additional tax which falls under each of the following subparagraphs shall be imposed up to one hundred million won, by types of violation of the obligation concerned: Provided, That the same shall not apply to the cases where the obligation is willfully violated: <Amended by Act No. 8830, Dec. 31, 2007>1. Additional tax pursuant to Article 81 (1), (3) through (6) and (12) of the Income Tax Act;2. Additional tax pursuant to Article 76 (4) through (7), (9) and (10) of the Corporation Tax Act;3. Additional tax pursuant to Article 22 (1) (including the cases where it applies mutatis mutandis under Article 28 (3)), (2) and (4) through (6) of the Value-Added Tax Act;4. Additional tax pursuant to Article 78 (3) and (5) (limited to cases where the obligation provided for in Article 50 (1) and (2) of the said Act is violated) of the Inheritance Tax and Gift Tax Act; and5. Additional tax pursuant to Articles 30-5 (5) and 90-2 (1) of the Special Tax Treatment Control Act.(2) In the application of paragraph (1), the classification of violations of obligation, the period and methods of application of the upper limit of additional tax, and other necessary matters shall be prescribed by Presidential Decree.[This Article Wholly Amended by Act No. 8139, Dec. 30, 2006]

(1) If there is any amount paid in error or tax amount to be refunded under the tax-related Acts (when there is any amount of tax to be deducted from the amount to be refunded under the tax-related Acts, referring to the remaining amount after deducting it), which a taxpayer has paid as a national tax, additional dues or disposition fee for arrears, the head of tax office shall immediately determine such excess amount paid in error or tax amount to be refunded as a refund of national tax. In this case, any claim filed for the refund of any tax that has mistakenly or doubly been paid shall be governed by Presidential Decree. <Amended by Act No. 7008, Dec. 30, 2003>(2) The head of tax office shall appropriate the amount determined as a refund of the national tax for the payment of national taxes, additional dues or disposition fees for arrears that fall under any of the following subparagraphs under the conditions as prescribed by Presidential Decree: Provided, That the appropriation of national tax under subparagraph 1 (excluding the case falling under the cause for collection prior to the payment term under Article 14 of the National Tax Collection Act) and subparagraph 3 shall be made only if the taxpayer agrees to the relevant appropriation: <Amended by Act No. 5189, Dec. 30, 1996; Act No. 6303, Dec. 29, 2000; Act No. 8139, Dec. 30, 2006>1. National tax to be paid by a notification of tax payment;2. National tax, additional dues and disposition fee for arrears, that are in arrears (where another head of tax office requests such appropriations, national tax, additional dues and disposition fee for arrears, that are in arrears in the relevant tax office, shall be included);3. National tax to be paid voluntarily under the tax-related Acts; and4. Deleted. <by Act No. 5189, Dec. 30, 1996>(3) Where a taxpayer has a tax amount to be refunded under the tax-related Acts, he may request that such tax amount be appropriated for the payment of the national tax as prescribed in paragraph (2) 1 and 3. In these cases, it shall be deemed that such national tax has been paid when the taxpayer has requested such appropriation. <Newly Inserted by Act No. 5189, Dec. 30, 1996; Act No. 6303, Dec. 29, 2000>(4) In the event that any person who is liable to withhold taxes at source has any tax amount to be refunded from the tax amount he has paid after having withheld taxes at source, he shall be paid the remainder of the tax amount that he appropriates for the payment of the tax amount he is liable to pay by withholding taxes at source (the appropriation of any refunded tax amount for the payment of a withholding tax on any other taxable item may be allowed only when a report containing details of appropriation and adjustment in the report on the progress in the withholding of taxes at source under the Income Tax Act is filed): Provided, That in the event that the relevant person who is liable to withhold taxes at source asks for the immediate refund of the tax amount or has no tax amount to pay by withholding taxes at source, the tax amount shall be immediately refunded. <Amended by Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>(5) The amount of national tax refund left after appropriating under paragraph (2) above, shall be repaid to the taxpayer within 30 days after the refund of the national tax is determined, under the conditions as prescribed by Presidential Decree.(6) Repayment of the national tax refund under paragraph (5) shall be made by the Bank of Korea with the revenues under the jurisdiction of the head of tax office concerned under the conditions as prescribed by Presidential Decree. <Amended by Act No. 5189, Dec. 30, 1996>(7) When the head of tax office requests the return of the amount which has been already appropriated or paid as the determination on refund of the national tax was canceled, the provisions of the National Tax Collection Act concerning the notification, demand and disposition for arrears shall apply mutatis mutandis. <Newly Inserted by Act No. 5189, Dec. 30, 1996; Act No. 8139, Dec. 30, 2006>[This Article Wholly Amended by Act No. 2932, Dec. 22, 1976]

(1) Where any inheritance tax, gift tax, income tax, corporation tax or comprehensive real estate holding tax is to be refunded according to a decision of correction to cancel the assessment of such tax or to reduce the amount of such assessment in whole or in part after a taxpayer paid it in kind under Article 73 of the Inheritance Tax and Gift Tax Act, Article 112-2 of the Income Tax Act, Article 65 of the Corporation Tax Act or Article 19 of the Comprehensive Real Estate Holding Tax Act, the property already paid in kind shall be refunded: Provided, That where the property paid is already sold or being used for other purpose or, otherwise, in such cases as prescribed by Presidential Decree, Article 51 shall apply mutatis mutandis. <Amended by Act No. 8139, Dec. 30, 2006>(2) Where a refund is made under the main sentence of paragraph (1), Article 52 shall not apply.(3) The detailed matters relating to the refund of the property paid in kind, such as the order of its refund and the determination as to who should bear management expenses required until the time of refund after it is received, shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 6782, Dec. 18, 2002]

When the head of tax office appropriates or pays a national tax refund under Article 51, he shall add to the national tax refund the amount calculated (hereinafter referred to as “additional refund of national tax”) according to the interest rate as prescribed by Presidential Decree taking into consideration the period between the day following the day prescribed in the following subparagraphs and the day of appropriation or decision on payment, and the interest rate of deposits in the financial institutions. In this case, in the application of the provisions of subparagraph 1, the amount of interim prepayment or the amount of payment that is made by withholding taxes at source under the tax-related Acts shall be deemed to have been paid on the last date of the legal return term of the relevant taxable item: <Amended by Act No. 2932, Dec. 22, 1976; Act No. 3199, Dec. 28, 1979; Act No. 4672, Dec. 31, 1993; Act No. 4810, Dec. 22, 1994; Act No. 5579, Dec. 28, 1998; Act No. 6070, Dec. 31, 1999; Act No. 6303, Dec. 29, 2000; Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>1. For a national tax refund due to correction or cancellation of the return or imposition forming the base of the relevant payments after an erroneous or double payment, or a payment, the day of relevant payment: Provided, That if the national tax refund was paid in two or more installments, it shall be the last day of payment, but if the national refund exceeds the final payment, it shall be each due date of national tax refund computed retroactively in the order of due dates until it reaches such amount;2. Deleted; <by Act No. 6303, Dec. 29, 2000>3. For a national tax refund by any reduction of or exemption from the national tax paid lawfully, the date of determination;4. Deleted; <by Act No. 3199, Dec. 28, 1979>5. For a national tax refund by the amendment of a tax-related Act after lawful payment, the enforcement date of the tax-related Act;6. For the cause of correcting a return or a mistaken return of the refund of tax amount under the Income Tax Act, the Corporation Tax Act, the Value-Added Tax Act, the Individual Consumption Tax Act, the Liquor Tax Act or the Transportation Energy Environment Tax Act, the time when 30 days have passed from the date of return (if the date of return is the one before the legal return date, it shall be from the legal return date): Provided, That in the case of refunding any tax amount on the grounds of deciding not to file a return of the refund, the time when 30 days have passed since the date on which the relevant decision is made; and7. For refunding any tax amount to any person liable to withhold taxes at source or any person liable to pay a withholding tax, which the person liable to withhold taxes at source has paid after withholding taxes at source or performing the year-end settlement upon receiving a request for correction provided in Article 45-2 (4), the time when 30 days have passed since the date on which the deadline for the payment of year-end settlement amount or the payment of the tax amount withheld at source expires.Article 53 (Transfer of Rights to National Tax Refund)A taxpayer may transfer to another person the rights to the national tax refund under the conditions as prescribed by Presidential Decree.Article 54 (Extinctive Prescription of National Tax Refund)(1) Rights of a taxpayer to any national tax refund or additional national tax refund shall become extinct by a prescription, if he does not exercise them for five years from the time they are exercisable.(2) For the extinctive prescription under paragraph (1), the provisions of the Civil Act shall be applied except as otherwise provided for in this Act or tax-related Acts. <Amended by Act No. 8139, Dec. 30, 2006>

(1) Any person whose rights or interests have been infringed in, or by receiving an unlawful or unreasonable disposition or by not getting a required one under this Act or other tax-related Acts, may request the cancellation or modification of such disposition, or other necessary measures through the request for examination or adjudgment according to the provisions of this Chapter. <Amended by Act No. 5189, Dec. 30, 1996; Act No. 5993, Aug. 31, 1999>(2) An interested person who falls under any of the following subparagraphs (hereinafter referred to as an “interested person”), whose rights and interests are to be infringed due to the disposition pursuant to this Act or other tax-related Acts, may request the cancellation or modification of an unlawful or unreasonable disposition and other necessary dispositions by requesting the examination or adjudgment pursuant to the provisions of this Chapter with respect to the disposition of a person who has been subject to an unlawful or unreasonable disposition: <Newly Inserted by Act No. 5189, Dec. 30, 1996; Act No. 5993, Aug. 31, 1999; Act No. 7930, Apr. 28, 2006>1. A person who has received a notice of tax payment as a person secondarily liable for tax payment;2. A person who has received a notice of tax payment as he has to bear the liability of tax payment in kind pursuant to the provisions of Article 42;3. A guarantor; and4. Other persons prescribed by Presidential Decree.(3) Except for the cases of dispositions under paragraphs (1) and (2) which are to be or to have been examined, determined or managed by the Commissioner of the National Tax Service, an objection pursuant to the provisions of this Chapter may be filed before the request for examination or adjudgment. <Newly Inserted by Act No. 5189, Dec. 30, 1996; Act No. 5993, Aug. 31, 1999>(4) Deleted. <by Act No. 5993, Aug. 31, 1999>(5) The dispositions of the following subparagraphs shall not be included in the disposition of paragraph (1) above: <Amended by Act No. 3097, Dec. 5, 1978; Act No. 5189, Dec. 30, 1996; Act No. 5993, Aug. 31, 1999; Act No. 8139, Dec. 30, 2006>1. Disposition on an objection, request for examination or adjudgment under this Chapter: Provided, That the cases of request for examination or adjudgment on the disposition of objection shall be excluded;2. Disposition of notice by the Procedure for the Punishment of Tax Evaders Act; and3. Disposition to which a request for examination is made under the Board of Audit and Inspection Act or disposition to such request for examination.(6) A request for examination under paragraph (5) 3 shall be made within ninety days from the date when the disposition concerned is known (if notice of the disposition is given, the date when such notice is received). <Amended by Act No. 5579, Dec. 28, 1998>(7) Administrative litigation against a disposition through a request for examination under paragraph (5) 3 shall, notwithstanding the provisions of Articles 18 (2) and (3) and 20 of the Administrative Litigation Act, be instituted against the agency which has made the disposition as a defendant party within ninety days after being notified of the decision on the request for examination. <Amended by Act No. 3754, Dec. 15, 1984; Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998; Act No. 8139, Dec. 30, 2006>(8) The period as prescribed in paragraphs (6) and (7) shall be a peremptory term. <Amended by Act No. 5189, Dec. 30, 1996>(9) Request for examination and adjudgment on the same disposition shall not be doubly filed. <Newly Inserted by Act No. 5993, Aug. 31, 1999>Article 55-2 (Special Case on Calculation of Period in Procedure of Mutual Agreement)The special cases on calculation of the period in the procedure of reciprocal agreement shall be subject to the conditions as prescribed in Article 24 (1) of the Act for the Coordination of International Tax Affairs. <Amended by Act No. 8139, Dec. 30, 2006>[This Article Wholly Amended by Act No. 4981, Dec. 6, 1995]

(1) For a disposition under Article 55, the provisions of the Administrative Appeals Act shall not be applicable: Provided, That the provisions of Articles 11, 12, 16, 20 and 26 of the same Act shall be applicable mutatis mutandis to a request for examination or adjudgment, and in this case, the “committee” shall be deemed as the “National Tax Examination Committee”, the “council of tax judges” or the “joint session of tax judges”. <Amended by Act No. 3755, Dec. 15, 1984; Act No. 5993, Aug. 31, 1999; Act No. 6303, Dec. 29, 2000; Act No. 8139, Dec. 30, 2006; Act No. 8860, Feb. 2, 2008>(2) Notwithstanding the provisions of Article 18 (1) (main sentence), (2) and (3) of the Administrative Litigation Act, any administrative litigation against an illegal disposition as prescribed in Article 55 shall not be filed without going through the request for examination and adjudgment as prescribed by this Act and the decision thereof. <Amended by Act No. 4810, Dec. 22, 1994; Act No. 5993, Aug. 31, 1999; Act No. 8139, Dec. 30, 2006>(3) Notwithstanding the provisions of Article 20 of the Administrative Litigation Act, the administrative litigation as referred to in paragraph (2) above shall be filed within ninety days after the decision on the request for examination or adjudgment is notified: Provided, That the decision is not notified within the period of decision as prescribed in Article 65 (2) or the proviso of Article 81, the administrative litigation may be initiated from the date when the prescribed period of decision expires even before the decision is notified. <Newly Inserted by Act No. 4810, Dec. 22, 1994; Act No. 5579, Dec. 28, 1998; Act No. 5993, Aug. 31, 1999; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>(4) If the request for examination as prescribed in Article 55 (5) 3 is made, it shall be considered to have gone through the request for examination or adjudgment under this Act, and the provisions of paragraph (2) shall be applicable mutatis mutandis. <Newly Inserted by Act No. 4810, Dec. 22, 1994; Act No. 5454, Dec. 13, 1997; Act No. 5993, Aug. 31, 1999>(5) The period as referred to in paragraph (3) shall be a peremptory term. <Amended by Act No. 4810, Dec. 22, 1994>

Except as otherwise provided for in tax-related Acts, any objection or request for examination or adjudgment shall not affect the execution of the disposition concerned: Provided, That the ruling agency may, if necessary, suspend or order to suspend the execution of the disposition.

Any person who has filed an objection or a request for examination or judgement, may inspect the documents related to the objection or request, and state his opinion to the ruling agency under the conditions as prescribed by Presidential Decree.

(1) A person who has filed an objection or a request for examination or judgement and a disposition agency may nominate a lawyer, a certified tax consultant or the certified public accountants who register under Article 20-2 (1) of the Certified Tax Accountant Act as his representative. <Amended by Act No. 4277, Dec. 31, 1990; Act No. 7032, Dec. 31, 2003; Act No. 8139, Dec. 30, 2006>(2) The power of a representative shall be certified in writing.(3) Any representative may perform all the act concerning the principal’s objection or request on his behalf: Provided, That that any withdrawal of the objection or request shall be made only under a special mandate.(4) When a representative is dismissed, it shall be reported in writing to the ruling agency.

(1) Any agency that made a decision on an objection or a request for examination or adjudgment, shall specify in a notice of decision that any person who has filed such objection may make a request for examination or adjudgment, and one who has filed such request for examination or adjudgment may institute an administrative litigation, respectively, within ninety days after he receives the notice of decision. <Amended by Act No. 5579, Dec. 28, 1998; Act No. 5993, Aug. 31, 1999>(2) When an agency having authority to decide on an objection or a request for examination or adjudgment has failed to decide after the elapse of the period of decision on such objection or request, the agency shall immediately notify in writing the person who has filed such objection that he may make a request for examination or adjudgment, and one who has filed such request for examination or adjudgment that he may institute an administrative litigation, once the prescribed period of decision elapses, even before he receives the notice of such decision. <Amended by Act No. 4672, Dec. 31, 1993; Act No. 5993, Aug. 31, 1999; Act No. 8830, Dec. 31, 2007>

(1) Any request for examination shall be made within 90 days from the date when the disposition concerned is known (if notice of the disposition is issued, the date when such notice is received). <Amended by Act No. 5579, Dec. 28, 1998>(2) If a person desires to file a request for examination after going through an objection, he shall file such request within ninety days after being notified of the decision on the objection: Provided, That he has not received the notice of the decision within the period of decision prescribed in the proviso of Article 66 (6), he may file a request for examination once the prescribed period of decision elapses, even before being notified of the decision. <Newly Inserted by Act No. 4672, Dec. 31, 1993; Act No. 5579, Dec. 28, 1998; Act No. 8830, Dec. 31, 2007>(3) If a written request for examination mailed within the term as referred to in paragraphs (1) and the text of paragraph (2) (based on the date as prescribed in Article 5-2), arrives after the elapse of the request period, it shall be considered that a lawful request has been made on the last day of such period. <Newly Inserted by Act No. 4672, Dec. 31, 1993; Act No. 8830, Dec. 31, 2007>(4) Where a person cannot file a request for examination within the period prescribed by paragraph (1) due to reasons referred to in Article 6 (only reasons for a prolongation of a term concerning filing, application, claim, presentation of documents, and notice), he may file such request for examination within fourteen days after the reasons disappear. In such cases, he shall submit documents in which the reasons, the date on which the reasons occur, the date on which the reasons disappear, and other necessary matters are stated. <Amended by Act No. 3746, Aug. 7, 1984>

(1) Any request for examination shall be filed with the Commissioner of the National Tax Service through the head of tax office who has made or should have made the disposition in question, with the cause for protest prepared under the conditions as prescribed by Presidential Decree.(2) For computing the period of request for examination under Article 61, the request shall be considered to be complete when it is filed with the head of tax office under paragraph (1) above. Even if it is filed with the head of tax office other than the head of tax office as referred to in paragraph (1), the director of a regional tax office or the Commissioner of the National Tax Service, the same shall apply. <Amended by Act No. 3471, Dec. 31, 1981>(3) The head of tax office who receives a written request under paragraph (1), shall send it to the Commissioner of the National Tax Service with a statement of his opinion appended, within seven days from the date of the receipt thereof: Provided, That if the disposition which is subject of the request for examination, is or was to be investigated, decided or settled by the director of a regional tax office and if any person who has filed an objection with the director of a regional tax office has an objection against the decision thereon or has failed to receive the decision thereon, a written opinion by the director of the regional tax office shall be appended to the request for examination. <Amended by Act No. 3097, Dec. 5, 1978; Act No. 5579, Dec. 28, 1998>

(1) If the Commissioner of the National Tax Service finds that the substance or procedure of a request for examination does not conform the provisions of this Act or other tax-related Acts, and that it can be supplemented or corrected, he may demand supplementation or correction within a prescribed period of 20 or less days: Provided, That if matters to be supplemented or corrected is insignificant, the Commissioner of the National Tax Service may supplement or correct them ex officio. <Amended by Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998>(2) Any person who has filed the request for examination may, upon the demand under paragraph (1), supplement or correct it by presenting himself at the National Tax Service, stating orally the matters to be supplemented or corrected, and signing on a record of the orally stated matters, which is made by an official of the National Tax Service.(3) The period of supplementation or correction under paragraph (1) shall not be counted in that of request for examination as provided in Article 61.

(1) The Commissioner of the National Tax Service shall, upon a request for examination, decide upon it through a deliberation of the National Tax Examination Committee: Provided, That this shall not apply where a request for examination, etc. has been filed after the period of request elapsed or any causes prescribed by Presidential Decree occur. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8830, Dec. 31, 2007>(2) Any meeting of the National Tax Examination Committee shall not be made public: Provided, That in cases where the chairman of the said Committee deems it necessary, it may be open to the public. <Newly Inserted by Act No. 5993, Aug. 31, 1999>(3) Deleted. <by Act No. 9263, Dec. 26, 2008>

(1) Decisions on a request for examination shall be made pursuant to the following subparagraphs: <Amended by Act No. 8830, Dec. 31, 2007>1. When the request for examination is unlawful or has been filed after the period of request prescribed in Article 61 elapsed, or when any supplementation or correction has not been complete within the period of supplementation or correction provided for in Article 63 (1) after the request for examination was filed, a decision to reject such request shall be made;2. When the request for examination is considered unreasonable, a decision to dismiss such request shall be made; and3. When the request for examination is considered reasonable, a decision of cancellation or correction of the disposition against which the request is made, or other necessary disposition shall be made.(2) The decision under paragraph (1) shall be made within 90 days after the request for examination is received. <Amended by Act No. 5579, Dec. 28, 1998; Act No. 7008, Dec. 30, 2003>(3) When a decision under paragraph (1) is made, it shall be notified to the person who has made the request, by a written decision with the reasons stated therein, in the period of decision specified in paragraph (2).(4) The period of supplementation or correction prescribed in Article 63 (1) shall not be counted in the period of decision under paragraph (2).(5) Deleted. <by Act No. 4672, Dec. 31, 1993>

(1) In cases where it is apparent that there exist errors in writing and in calculation and other mistakes similar to them in the decision on a request for examination, the Commissioner of the National Tax Service may correct them ex officio or upon request from an applicant.(2) Detailed procedures for correction under paragraph (1) shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 6303, Dec. 29, 2000]

(1) An objection shall be filed with the head of tax office who has made or should have made the relevant disposition, or with the director of the competent regional tax office through the head of a tax office only when there exists any cause for protest as prescribed by Presidential Decree: Provided, That if any of the following events occurs, an objection shall be filed with the director of the competent regional tax office and the objection filed with the head of a tax office shall be deemed to have been filed with the director of the competent regional tax office: <Amended by Act No. 3097, Dec. 5, 1978; Act No. 8830, Dec. 31, 2007>1. Where a disposition of taxation has been made according to the investigation by the director of the competent regional tax office;2. Where it is under the jurisdiction of the director of the same regional tax office while the head of a tax office who has investigated and the head of tax office who has imposed are different; and3. Where a pre-taxation review has been requested to the head of tax office.(2) If the disposition subject to any objection has been or should have been investigated, decided or settled by the director of a regional tax office, the head of a tax office shall send the objection to the director, with the statement of his opinion appended, within seven days from the date of the receipt thereof and notify the person who made it. <Amended by Act No. 5579, Dec. 28, 1998>(3) The head of a tax office who receives an objection addressed to the director of a regional tax office, shall send it to the director, with the statement of his opinion appended, within seven days from the date of the receipt thereof. <Newly Inserted by Act No. 3097, Dec. 5, 1978; Act No. 5579, Dec. 28, 1998>(4) The head of a tax office and the director of a regional tax office with whom an objection is filed under paragraphs (1) and (2), shall each make a decision thereon after a deliberation of the National Tax Examination Committee. <Amended by Act No. 5579, Dec. 28, 1998; Act No. 9263, Dec. 26, 2008>(5) Deleted. <by Act No. 9263, Dec. 26, 2008>(6) The provisions of Articles 61 (1), (3) and (4), 62 (2), 63, 64 (1) (proviso) and (2), 65 and 65-2 shall apply mutatis mutandis to an objection: Provided, That “ninety days” in Article 65 (2) shall be replaced with “thirty days”. <Amended by Act No. 3097, Dec. 5, 1978; Act No. 4672, Dec. 31, 1993; Act No. 5993, Aug. 31, 1999; Act No. 6070, Dec. 31, 1999; Act No. 7008, Dec. 30, 2003>

(1) Tax offices, regional tax offices and the National Tax Service shall each have a national tax examination committee to deliberate on mattersconcerning request for examination under Article 64, filing an objection under Article 66 and request for pre-taxation review under Article 81-12.(2) The organization and operation of a national tax examination committee, matters of deliberation by each committee and other necessary matters shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 9263, Dec. 26, 2008]

(1) In order to decide on requests for adjudgment, the Tax Tribunal shall be established under the Prime Minister. <Amended by Act No. 5189, Dec. 30, 1996; Act No. 5579, Dec. 28, 1998; Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(2) The Tax Tribunal shall independently perform its duties. <Newly Inserted by Act No. 8860, Feb. 29, 2008>(3) The director and tax judges shall be assigned to the Tax Tribunal. The director and permanent tax judges shall be appointed from among public officials, either in general services or in extraordinary services, belonging to the Senior Executive Service and non-permanent tax judges shall be commissioned under the conditions prescribed by Presidential Decree. <Amended by Act No. 7796, Dec. 29, 2005; Act No. 8860, Feb. 29, 2008>(4) Tax judges shall have expertise and experience in the fields of national tax, law and accounting, and qualifications prescribed by Presidential Decree. <Amended by Act No. 4810, Dec. 22, 1994; Act No. 8860, Feb. 29, 2008>(5) The terms of office for tax judges shall be three years, and the reappointment of a national tax judge may be allowed only once. No national tax judge shall be removed from his office against his will, unless he falls under any of the following subparagraphs: <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>1. When he is sentenced to imprisonment without prison labor or to a heavier punishment; and2. When he is unable to perform his duties due to a prolonged mental or physical illness.(6) The provisions of paragraph (5) do not apply to the director. <Newly Inserted by Act No. 2925, Dec. 22, 1976; Act No. 5579, Dec. 28, 1998; Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(7) Investigators in charge of cases of tax appeals and assistants to them shall be assigned to the Tax Tribunal, and their qualifications shall be determined by Presidential Decree. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(8) Matters on personnel, organization and administration of the Tax Tribunal and other necessary matters shall be determined by Presidential Decree. <Amended by Act No. Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>

(1) Any request for adjudgment shall be filed within 90 days after the relevant disposition is known (when a notice of disposition is made, after the date of its receipt).(2) The provisions of Article 61 (2) shall be applicable mutatis mutandis to the period of request in cases where a request for adjudgment is made after filing an objection.[This Article Wholly Amended by Act No. 5993, Aug. 31, 1999]

(1) Any request for adjudgment shall be filed with the director of the Tax Tribunal through the head of the relevant tax office who has made or should have made the disposition, with the grounds for appeal prepared under the conditions prescribed by Presidential Decree. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8830, Dec. 31, 2007; Act No. 8860, Feb. 29, 2008>(2) For calculating the period of request for adjudgment as prescribed in Article 68, the request for adjudgment shall be considered to be complete when a written request is filed, under paragraph (1), with the head of the relevant tax office. The same shall apply to where a written request is filed with the head of a tax office other than one referred to in paragraph (1), the director of the relevant regional tax office, the Commissioner of the National Tax Service or the director of the Tax Tribunal. <Amended by Act No. 3471, Dec. 31, 1981; Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(3) The head of the relevant tax office who receives a written request under paragraph (1), shall send it to the Director of the Tax Tribunal, along with a reply note within seven days from the date of receipt: Provided, That in cases of any disposition falling under the provisions of Articles 55 (3) and 62 (3) (proviso), the reply note of the Commissioner of the National Tax Service or a director of a regional tax office shall be attached thereto. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(4) The reply note under paragraph (3) shall be accompanied with a written decision on the filing of objection (limited to the case where there exists a decision on such an objection), a ground and reason of disposition, documents verifying the facts underlying the reason of disposition, evidential documents and evidences submitted by a claimant, and the whole data on examinations. <Newly Inserted by Act No. 5993, Aug. 31, 1999>(5) Where a reply note is submitted pursuant to paragraph (3), the director of the Tax Tribunal shall immediately forward a copy to a claimant for adjudgment. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>

(1) For a plea to the reply note received under Article 69 (5), the claimant for adjudgment, may submit evidential documents or other evidences to the director of the Tax Tribunal. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(2) If the director of the Tax Tribunal demands that the claimant for adjudgment submit evidential documents or other evidences as referred to in paragraph (1) by certain date, they shall be submitted within the said term. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(3) Where the evidential documents are submitted pursuant to paragraph (1), the director of the Tax Tribunal shall immediately forthwith forward the copies of evidential documents to the claimee. <Newly Inserted by Act No. 8139, Dec. 30, 2006; Act No. 8860, Feb. 29, 2008>

(1) The director of the Tax Tribunal shall, upon a request for adjudgment, designate a chief national tax judge and two or more associate tax judges in order to take charge of investigation and examination on the request, and have them constitute the council of tax judges. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(2) The chief national tax judge shall act as the chairman of the council of tax judges under paragraph (1), and the chairman shall assume an overall control over the affairs of the relevant adjudgment case: Provided, That in cases where the chief national tax judge is unable to perform his duties due to unavoidable reasons, the director of the Tax Tribunal shall designate one to act for the chairman, from among associate tax judges. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(3) The council of tax judges shall start deliberation with the presence of two-thirds or more of tax judges, and make decision with a concurrent vote of a majority of tax judges present. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(4) Meetings of the council of tax judges are not open to public: Provided, That in cases where the chairman of the council of tax judges deems it necessary, they may be open to public. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(5) Matters necessary for the administration, etc. of the council of tax judges shall be determined by Presidential Decree. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>

(1) Any national tax judge who falls under any of the following subparagraphs, shall be excluded from participation in the adjudgment: <Amended by Act No. 8860, Feb. 29, 2008>1. A relative of a claimant for adjudgment or a claimant’s representative; and2. A person who is or was an employer of a claimant or of a claimant’s representative, or who participates or participated in the business of a claimant or a claimant’s representative.(2) If any ground for exclusion exists, a national tax judge shall voluntarily avoid designation as the chief or an associate judge under Article 72 (1). <Amended by Act No. 8860, Feb. 29, 2008>

(1) If a claimant deems it difficult to anticipate impartial adjudgment from tax judges in charge, he may challenge them. <Amended by Act No. 8860, Feb. 29, 2008>(2) Request for challenge under paragraph (1) shall be made to the director of the Tax Tribunal under the conditions prescribed by Presidential Decree. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(3) When the director of the Tax Tribunal finds the request for challenge is reasonable, he shall approve such request. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>

Tax judges in charge, may, if necessary, merge several cases into one or separate merged cases into several cases. <Amended by Act No. 8860, Feb. 29, 2008>

(1) If it is necessary for investigation and hearing on a request for adjudgment, tax judges in charge may, ex officio or upon the demand of a claimant perform any of the following conducts: <Amended by Act No. 8860, Feb. 29, 2008>1. Questioning a claimant, agency which made a disposition, interested person or witness;2. Demanding to present books, documents and other articles kept by those referred to in subparagraph 1; and3. Inspecting books, documents or other articles belonging to those referred to in subparagraph 1, or requesting an expert’s opinion from an expert agency.(2) Any officials, other than tax judges, belonging to the Tax Tribunal may perform acts specified in paragraph (1) 1 and 3, by the order of the director of the Tax Tribunal. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(3) When tax judges and other officials of the Tax Tribunal perform acts referred to in paragraph (1) 1 and 3, they shall carry their identifications showing their positions and present them to the persons concerned. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(4) If tax judges in charge considers that it may be substantially difficult to judge the whole or a part of request for adjudgment because a claimant does not respond, without any justifiable reason, to acts prescribed in subparagraphs of paragraph (1) or to a request under Article 71 (2), they may not admit any claim of the claimant with regard to that part. <Amended by Act No. 8860, Feb. 29, 2008>

Tax judges shall make decisions based on free will, taking into consideration the results of investigation and deliberation concerning request for adjudgment and the equality of taxation. <Amended by Act No. 8860, Feb. 29, 2008>

(1) In cases where the director of the Tax Tribunal receives a request for adjudgment, the council of tax judges shall decide thereon upon deliberation: Provided, That if the object of such request for adjudgment is too small amount of money to reach amounts prescribed by Presidential Decree or minor matters, or if such request is made after the period of request has expired, the chief national tax judge may examine and make a decision thereon without undergoing deliberation by the council of tax judges. <Amended by Act No. 8860, Feb. 29, 2008>(2) In cases referred to in paragraph (1), if the council of tax judges makes a resolution which changes the previous cases of adjudgment or any of other grounds determined by Presidential Decree occur, a joint session of tax judges shall examine and make a decision thereon. <Amended by Act No. 8860, Feb. 29, 2008>(3) The joint session of tax judges referred to in paragraph (2) shall be comprised of the director of the Tax Tribunal, all permanent tax judges, and non-permanent tax judges designated by the director of the Tax Tribunal with the same number of permanent tax judges. <Amended by Act No. 8860, Feb. 29, 2008>(4) The provisions of Article 72 (2) through (4) shall apply mutatis mutandis to the joint session of tax judges under paragraph (2). In such cases, “the chief national tax judge” in paragraph (2) of the same Article shall be deemed as “the director of the Tax Tribunal”, and “the council of tax judges” as “the joint session of tax judges”. <Amended by Act No. 8830, Dec. 31, 2007; Act No. 8860, Feb. 29, 2008>(5) The decision on adjudgment shall be made in writing, and the results and reasons thereof shall be written in decision documents, clearly stating the names of tax judges who have participated in examination, and the said documents shall be sent to the relevant claimant and the head of the relevant tax office. <Amended by Act No. 8860, Feb. 29, 2008>(6) Matters necessary for the administration of the joint sessions of tax judges and the delivery of decision documents, etc. shall be determined by Presidential Decree. <Amended by Act No. 8860, Feb. 29, 2008>[This Article Wholly Amended by Act No. 5993, Aug. 31, 1999]

(1) In making a decision under Article 65 which applies mutatis mutandis to Article 81, the council of tax judges or the joint session of tax judges shall not revoke or modify all or a part of dispositions other than the subject of tax appeals, or make a decision on a new disposition. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>(2) In making a decision under Article 65 which applies mutatis mutandis to Article 81, the council of tax judges or the joint session of tax judges shall not make a decision giving more disadvantage to the claimant than the disposition against which the request was made. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 8860, Feb. 29, 2008>

(1) The decision under Article 65 as applied mutatis mutandis in Article 81, shall bind the administrative agencies concerned.(2) When a decision on a request for adjudgment is made, the competent administrative agency shall immediately take necessary disposition in accordance with the intent of the decision.

The provisions of Articles 61 (3) and (4), 63, 65 and 65-2 shall be applicable mutatis mutandis to any request for adjudgment: Provided, That a “period within 20 days” in Article 63 (1) shall be deemed as a “considerable period.” <Amended by Act No. 3746, Aug. 7, 1984; Act No. 4672, Dec. 31, 1993; Act No. 5189, Dec. 30, 1996; Act No. 6303, Dec. 29, 2000; Act No. 7008, Dec. 30, 2003>

(1) The Commissioner of the National Tax Service shall establish and publicly notify the taxpayers’ right charter in which the matters as prescribed in Articles 81-3 through 81-11 and other matters concerning the protection of taxpayers’ rights are included. <Amended by Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007>(2) Where any tax official falls under any of the following subparagraphs, he shall deliver the document incorporating the details of the taxpayers’ rights charter pursuant to paragraph (1) to taxpayers: <Amended by Act No. 8139, Dec. 30, 2006>1. When he investigates the offence cases under the provisions of the Procedure for the Punishment of Tax Evaders Act (hereinafter referred to as “offence cases”);2. When he performs the filed investigation for taxation, such as the investigation conducted for the determination or correction of corporation tax;3. When he issues the trader’s registration certificate; and4. Other cases as prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

Any tax official shall presume that a taxpayer is sincere and the return, etc. submitted by him is true, unless he falls under any subparagraph of Article 81-6 (2).[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

(1) Any tax official shall conduct tax investigation within such minimum limit as necessary for appropriate and fair taxation and shall not abuse the right of tax investigation for other purpose. <Newly Inserted by Act No. 6782, Dec. 18, 2002>(2) Tax officials shall not reinvestigate the same affairs of taxation within the same taxable period, except for any of the following cases: <Amended by Act No. 8830, Dec. 31, 2007>1. Where there are obvious evidences confirming a suspicion of tax evasion;2. Where investigation on the counterpart of a transaction is necessary;3. Where mistakes relating to two or more business years exist;4. Where an investigation is conducted following the decision on necessary disposition pursuant to Article 65 (1) 3 [including cases where the Article applies mutatis mutandis to Articles 66 (6) and 81]; or5. Other cases similar to subparagraphs 1 through 4, which are prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

In undergoing the field investigation for taxation as prescribed by Presidential Decree, such as the investigation of offence cases, the investigation for decision or correction of income tax, corporation tax and value-added tax, a taxpayer may arrange for a lawyer, a certified public accountant, a licensed tax accountant or a person having expertise in tax as prescribed by Presidential Decree to attend or state his view at the investigation.[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

(1) In the case of falling under any one of the following subparagraphs, a tax official may periodically select (hereinafter referred to as “periodic selection”) specific taxpayers and make a tax investigation into them to verify the propriety of returns. In this case, the tax official shall fairly and objectively select the persons subject to tax investigation: <Amended by Act No. 8830, Dec. 31, 2007>1. Where the Commissioner of the National Tax Service deems that the contents of a taxpayer’s return are not complete as a result of periodic analysis of the matters reported by him;2. Where it is necessary to verify whether the matters reported by a taxpayer who has not been subject to tax investigations on the same taxable items during the last four or more taxable periods (or four business years or more) is reasonable as prescribed by Presidential Decree considering the category, size, etc. of his business; and3. Where a sample tax investigation is to be conducted in accordance with a random sampling method.(2) In addition to investigation by a periodic selection under paragraph (1), tax officials may also conduct tax investigation , in cases of falling under any one of the following subparagraphs: <Amended by Act No. 8830, Dec. 31, 2007>1. Where a taxpayer fails to fulfill the duty to cooperate the payment of tax under the tax-related Acts, such as filing a return, drawing up, delivering, and submitting a tax invoice or an accounting statement, or drawing up and submitting a payment record;2. Where a taxpayer is suspected of false transaction, such as transactions without authentic documentation or disguised or fictitious transactions;3. Where there is concrete information on a taxpayer’s tax evasion; and4. Where there is an evident material justifying a suspicion of the omissions or mistakes in the contents of a return made by a taxpayer.(3) A tax official may conduct tax investigation to determine the tax base and amount for the items of tax fixed through the investigation of tax authorities.(4) With respect to any person who satisfies all the requirements of the following subparagraphs, a tax official may decide not to conduct tax investigation: Provided, That the same shall not apply to the cases where objective evidential materials show evidently that the return of the deficit amount is filed:1. An enterpriser the amount of whose revenue is not more than that prescribed by Presidential Decree by the category of business; and2. An enterpriser the entry, etc. in whose account book meets the requirements prescribed by Presidential Decree.[This Article Wholly Amended by Act No. 8139, Dec. 30, 2006]

(1) When a tax official investigates account books, documents and other articles, etc. for the purpose of the investigation on the national tax, he shall notify the taxpayer to be investigated (where a taxpayer designates a tax manager pursuant to Article 82 and reports to the head of the competent tax office, referring to the tax manager; hereafter the same shall apply in this Article) of the taxable items of investigation, the period of and reason for investigation, and other matters as prescribed by Presidential Decree within 10 days before commencement of the investigation: Provided, That where it is deemed that the purpose of investigation may be not attained because of the possible destruction of evidence, etc. in cases of investigation or advance notice of an offence case, the same shall not apply. <Amended by Act No. 8139, Dec. 30, 2006>(2) Where a taxpayer who has received the notice pursuant to paragraph (1) has difficulty in undergoing the investigation due to a natural disaster and other matters as prescribed by Presidential Decree, he may request that the head of the competent tax office shall postpone such investigation under the conditions as prescribed by Presidential Decree.(3) The head of the competent tax office who is requested to postpone investigation under paragraph (2) shall decide on whether not to accept such a request and notify the taxpayer of the result thereof before commencement of the investigation. <Newly Inserted by Act No. 8139, Dec. 30, 2006>[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

(1) A tax official shall endeavor to shorten the period of tax investigation to the minimum in consideration of the taxable items of investigation, the category, size, relative difficulty of business, etc.: Provided, That the period of tax investigation may be extended in the case of falling under any one of the following subparagraphs:1. Where it is evident that a taxpayer has dodged investigation, hiding books or documents, etc. or delaying or refusing the submissionthereof;2. Where it is necessary to investigate the transaction parties and conduct the on-the-spot confirmation of the transaction parties and financial transactions;3. Where a suspicion of tax evasion is detected or the type of the investigation is converted into the case of a tax offense pursuant to Article 1 of the Procedure for the Punishment of Tax Evaders Act in the course of such investigation; and4. Where the investigation is suspended due to a natural disaster or a labor dispute, or any other cause as prescribed by the Commissioner of the National Tax Service accrues.(2) When a tax official intends to extend the period of tax investigation in accordance with the proviso of paragraph (1), he shall notify the cause and period of such extension in writing to the taxpayer.[This Article Newly Inserted by Act No. 8139, Dec. 30, 2006]

When a tax official completes the site investigation for taxation disposition as prescribed by Presidential Decree, such as the investigation of offence cases, investigation for the decision or correction of corporation tax, he shall notify the taxpayer of the result of such investigation in writing: Provided, That the same shall not apply to the cases prescribed by Presidential Decree, such as the closing of a business.[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

(1) A tax official shall not offer or disclose to others data which a taxpayer has submitted in order to fulfill his liability to taxation as prescribed by tax-related Acts or data which the tax official has obtained for the purpose of taxation or collection of national tax, etc. in discharging his duties (hereinafter referred to as “taxation information”), shall not make use of it except for the prescribed purposes: Provided, That in cases falling under any of the following subparagraphs, he may offer the taxation information to be used for the prescribed purposes: <Amended by Act No. 9412, Feb. 6, 2009>1. When a local government, etc. requests taxation information in order to use for taxation or collection of the taxes as prescribed by the laws;2. When governmental authorities request taxation information to use for tax action or the prosecution of a tax evader;3. When taxation information is requested by the submission order of a court or a warrant issued by a judge;4. When taxation information is requested by another tax official as it is necessary for taxation and collection of the national tax, or for placing questions or the investigation;5. When the Commissioner of the National Statistical Office requests taxation information for producing national statistics; and6. When the taxation information is requested pursuant to the provisions of other Acts.(2) A person who requests taxation information pursuant to paragraph (1) 1, 2, 5 and 6 shall request in writing to the head of the concerned tax office. <Amended by Act No. 9412, Feb. 6, 2009>(3) If the request of taxation information is made in violation of paragraphs (1) and (2), a tax official shall refuse such request.(4) A person provided with taxation information pursuant to paragraph (1) shall not offer or disclose it to others, and shall not make use of it for purposes other than those prescribed.(5) A person who is not a public official from among those provided with taxation information under this Article shall be considered as a public official in the application of penal provisions under the Criminal Act and other Acts. <Amended by Act No. 8139, Dec. 30, 2006>[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

If a taxpayer requests information necessary for the exercise of tax-payer’s right, a tax official shall provide it instantly.[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

(1) A person who receives notification falling under any of the following subparagraphs may request a judgment on whether the content of notification is legal (hereafter referred to as a “pre-taxation review” in this Article) to the head of the tax office or director of the regional tax office who gave the notification concerned within 30 days from the date of its receipt: Provided, That he may request it to the Commissioner of the National Tax Service for the matters as prescribed in Presidential Decree, such as the cases where the authentic interpretation of the Commissioner of the National Tax Service is to be changed or a new interpretation is required in regard to Acts and subordinate statutes: <Amended by Act No. 7930, Apr. 28, 2006; Act No. 8139, Dec. 30, 2006; Act No. 9263, Dec. 26, 2008>1. Written notice of results in tax investigation under Article 81-9; and2. Other advance notice of taxation as prescribed by Presidential Decree.(2) The provisions of paragraph (1) shall not be applicable to the cases falling under any of the following subparagraphs: <Amended by Act No. 7008, Dec. 30, 2003; Act No. 8139, Dec. 30, 2006>1. Where there exist the causes for a collection prior to payment term under Article 14 of the National Tax Collection Act or the causes for occasional levying under the tax-related Acts;2. Where investigating the cases of tax violations;3. Where the period is not more than three months from the date of the notice of findings of tax investigation and the advance notice of tax levying to the expiration date of limitation period for national tax levying; and4. Other cases determined by Presidential Decree.(3) Upon request for a pre-taxation review, the head of the tax office, the director of the regional tax office, or the Commissioner of the National Tax Service shall make a decision thereon after an examination of each national tax examination committee, and notify the claimant of the relevant results within 30 days from the date of such request. <Amended by Act No. 8139, Dec. 30, 2006; Act No. 9263, Dec. 26, 2008>(4) The decision on a pre-taxation review shall be governed by the following subparagraphs: <Amended by Act No. 8830, Dec. 31, 2007>1. Where the request for judgment is deemed unreasonable: Decision not to adopt it;2. Where the request for judgment is deemed reasonable: Decision to adopt it: Provided, That where a part of the request for judgment is deemed reasonable, a decision on the partial adoption shall be made; and3. Where the period of request elapses or supplementation or correction is not made within the period of supplementation or correction: Decision not to examine it.(5) The provisions of Articles 58, 59, 61 (3), 62 (2), 63, 64 (2) and 65 (4) shall be applicable mutatis mutandis to the pre-taxation review. <Amended by Act No. 7930, Apr. 28, 2006; Act No. 8139, Dec. 30, 2006>(6) The provisions of Articles 11, 12, 16, 20 and 26 of the Administrative Appeals Act shall be applicable mutatis mutandis with respect to the pre-taxation review. In this case, the “committee” shall be read as the “National Tax Examination Committee”. <Newly Inserted by Act No. 8139, Dec. 30, 2006; Act No. 9263, Dec. 26, 2008>(7) A person who has received notification falling under any of the subparagrpahs of paragraph (1) may request the head of the tax office or the director of the regional tax office who gave such notification to decide tax base and tax amount early as notified, or to decide the correction thereof without requesting for pre-taxation review. In such cases, the head of the tax office or the director or the regional tax office shall immediately decide them or decide correction thereof as requested. <Newly Inserted by Act No. 9263, Dec. 26, 2008>(8) The request and methods of pre-taxation review and other necessary matters shall be determined by Presidential Decree. <Amended by Act No. 8139, Dec. 30, 2006; Act No. 9263, Dec. 26, 2008>[This Article Newly Inserted by Act No. 5993, Aug. 31, 1999]

(1) When a taxpayer has no domicile or residence within the country or intends to move his domicile or residence out of the country, he shall designate a tax manager to manage matters concerning national taxes. <Amended by Act No. 8830, Dec. 31, 2007>(2) Any taxpayer may select a lawyer, a certified tax accountant, or a certified public accountant who has been registered pursuant to Article 20-2 (1) of the Certified Tax Accountant Act as a tax manager, in order to have him manage matters concerning national taxes. <Amended by Act No. 8139, Dec. 30, 2006>(3) Any taxpayer who has designated a tax manager under paragraphs (1) and (2) shall report to the head of the competent tax office under the conditions as prescribed by Presidential Decree. The same shall apply to a case where the tax manager is dismissed or replaced. <Amended by Act No. 7008, Dec. 30, 2003>(4) When a taxpayer has failed to make a report pursuant to paragraph (3), the head of the competent tax office may designate the manager of taxpayer’s property or business as a tax manager. <Newly Inserted by Act No. 8830, Dec. 31, 2007>(5) Where a successor has not been determined or a successor does not have the right to dispose of inherited property when the head of tax office or the director of regional tax office imposes an inheritance tax pursuant to the Inheritance Tax and Gift Tax Act, he may apply the provisions concerning successor or testamentary donee in the Inheritance Tax and Gift Tax Act to the presumed successor, testament executor or manager of inherited property except for the cases where there is a tax manager. <Newly Inserted by Act No. 8830, Dec. 31, 2007>(6) If a successor or testamentary donee who is a non-resident intends to request for the payment, transfer or change of title of inherited property to a financial institution, he shall report it to the head of tax office having jurisdiction over the place of tax payment after appointing a tax manager pursuant to paragraph (1), shall have a certificate regarding the fact issued and shall submit it to the financial institution. <Newly Inserted by Act No. 8830, Dec. 31, 2007>[This Article Wholly Amended by Act No. 4810, Dec. 22, 1994]

(1) If the total amount of the national tax (excluding the stamp tax), the additional dues and the disposition fee for arrears which are to be notified are less than the amount prescribed by Presidential Decree, such amount shall be deemed non-exist. <Amended by Act No. 3746, Aug. 7, 1984>(2) Even though there is no amount to be notified as the additional dues under paragraph (1), it shall not affect a procedure for demand under the National Tax Collection Act. <Amended by Act No. 8139, Dec. 30, 2006>

(1) If it is necessary for performing his duties, any tax official may request the cooperation of a governmental agency, local government or public officials thereof.(2) Anyone who is asked for cooperation under paragraph (1), shall respond to it, unless there is any justifiable reason not to do so.(3) The Government may grant to an organization taking charge of the guidance for tax payment all or part of the expenses required for such guidance as a subsidy, under the conditions as prescribed by the Presidential Decree. <Newly Inserted by Act No. 3471, Dec. 31, 1981>

(1) The Commissioner of the National Tax Service may pay a bounty within the extent of 100 million won to a person falling under any of the following subparagraphs: Provided, That the amount collected through the report of tax evasion, illegal refund or deduction of tax or concealed property comes short of the amount set by Presidential Decree, or a public official has supplied data in connection with his duty or reported concealed property, the bounty shall not be paid: <Amended by Act No. 7930, Apr. 28, 2006; Act No. 8139, Dec. 30, 2006; Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. A person who has provided critical materials in the calculation of the amount of tax evasion or the illegally refunded or deducted tax amount (excluding a person who is paid a bounty pursuant to the provisions of Article 16 of the Procedure for the Punishment of Tax Evaders Act);2. A person who has reported the tax delinquent’s concealed property;3. A person who has reported a credit card merchant (referring to a credit card merchant under the Specialized Credit Financial Business Act, who has participated pursuant to Article 162-2 (1) of the Income Tax Act and Article 117 (1) of the Corporation Tax Act) who has conducted an act falling under any of the following items: Provided, That in cases where the amount of transaction which is liable for settlement by credit card (including those similar to a credit card, as prescribed by Presidential Decree; hereafter in this Article the same shall apply) is five thousand won or less, they shall be excluded:(a) Where he requested for settlement by credit card but the merchant has rejected such request; or(b) Where the merchant has issued a credit card sales slip (including those similar to credit card sales slips, as prescribed by Presidential Decree) containing a description different from the true facts, as prescribed by Presidential Decree;4. A person who has reported a member store of cash receipt service (refers to a member store of cash receipt service under Article 126-3 (1) of the Special Tax Treatment Control Act) which has conducted any act falling under any one of the following items: Provided, That in cases where the amount of transaction which is the object of issuance of cash receipt (hereinafter referred to as a “cash receipt”) pursuant to Article 126-3 (4) of the Special Tax Treatment Control Act is five thousand won or less, they shall be excluded:(a) Where a member store of cash receipt service refuses to issue a cash receipt; and(b) Where a member store of cash receipt service issues a cash receipt differently from the actual facts, as prescribed by Presidential Decree; or5. A person who has reported another person who operates business by making use of other persons’ titles.(2) The term “critical material” in paragraph (1) 1 means what falls under any of the following subparagraphs: <Amended by Act No. 7930, Apr. 28, 2006>1. Material or books that contain specific facts about the place of transactions, the date or period of transactions, the items of transactions and the amount of transactions, etc. that all make it possible to confirm the details of tax evasions or the illegally refunded or deducted tax amount (excluding what is deemed that the actual interest of taxation is nonexistent on the grounds of a taxpayer’s dishonor, business discontinuance, or bankruptcy at the time of submission of material and what the tax audit for it is in progress; hereafter referred to as “material” in this Article);2. Specific information that makes it possible to locate any material equivalent to that referred to in subparagraph 1; and3. Other material that is prescribed by Presidential Decree as worthy data in light of the circumstances of methods, details and scales, etc., under which taxes are evaded and taxes are illegally refunded or deducted.(3) The term “concealed property” in paragraph (1) 2 means cash, deposits, stocks and other tangible or intangible properties having property value, which are concealed by a tax delinquent: Provided, That the property falling under any of the following subparagraphs shall be excluded: <Newly Inserted by Act No. 7930, Apr. 28, 2006>1. The property that is the object of lawsuit for the purpose of revocation of fraudulent act pursuant to the provisions of Article 30 of the National Tax Collection Act;2. The property that a tax official has begun to investigate or to make an attachment for unpaid taxes learning of the fact of concealment; or3. Other concealed property of tax delinquents recognized as unnecessary to be reported, which is prescribed by Presidential Decree.(4) The supply of materials or the report pursuant to subparagraphs of paragraph (1) shall be made in writing by specifying the name and address, and affixing signature and seal. In this case, the evidential materials, etc. which are objectively verifiable shall be attached thereto. <Amended by Act No. 8139, Dec. 30, 2006>(5) Necessary matters concerning standards and ways for paying the bounty referred to in paragraph (1), the period of report, supply of materials, and methods of report, etc. provided for in paragraph (4) shall be prescribed by Presidential Decree. <Amended by Act No. 8139, Dec. 30, 2006>[This Article Newly Inserted by Act No. 7008, Dec. 30, 2003]

(1) Any person who is required to produce the materials for assessment under tax-related Acts, shall prepare them faithfully, and submit them to the head of the competent tax office within a prescribed period: Provided, That when they are made by means of national tax information and communications networks, they may be submitted to the director of the competent regional tax office or the Commissioner of the National Tax Service. <Amended by Act No. 5993, Aug. 31, 1999; Act No. 6782, Dec. 18, 2002>(2) When a governmental agency, local government, financial institution or a person operating an electronic data processing system collects or prepares materials or statistics relating to taxation, it shall inform such fact to the Commissioner of the National Tax Service.

The head of tax office (including the director of regional tax office and the Commissioner of the National Tax Service) may use the payment record on the income from interest or dividends that has been submitted pursuant to the provisions of Article 164 of the Income Tax Act or Article 120 of the Corporation Tax Act for a use falling under any of the following subparagraphs, notwithstanding the provisions of Article 4 (4) of the Act on Real Name Financial Transactions and Guarantee of Secrecy: <Amended by Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>1. Confirmation of inherited or donated property;2. Confirmation of data that prove clearly the suspicion of tax evasion; or3. Confirmation of qualifications for application for work bonus under Article 100-3 of the Special Tax Treatment Control Act.[This Article Newly Inserted by Act No. 7930, Apr. 28, 2006]

(1) A taxpayer shall prepare and keep faithfully books and documentary evidence related to all transactions, under the conditions as prescribed by each tax-related Act.(2) The books and documentary evidence as referred to in paragraph (1) shall be preserved for five years after the expiry of the legal return term of the national tax for the taxable period in which relevant transactions are made: Provided, That in cases falling under Article 26-2 (1) 5, they shall be preserved until the date prescribed in the same subparagraph. <Amended by Act No. 8830, Dec. 31, 2007; Act No. 9263, Dec. 26, 2008>(3) A taxpayer may prepare the whole or part of books and documentary evidence as referred to in paragraph (1) by means of any computer system. In this case, he shall preserve the course of a process thereof by means of magnetic tapes, diskettes and other information preservation systems pursuant to the criteria as prescribed by Presidential Decree. <Amended by Act No. 5579, Dec. 28, 1998>(4) When applying paragraph (1), where books and documentary evidence are deposited in the certified electronic documents depository under Article 31-2 of the Framework Act on Electronic Commerce after converting them into electronic documents under Article 5 (2) of the same Act, they shall be deemed to have been kept as prescribed in paragraph (1): Provided, That this shall not apply to the books and documentary evidence which can be easily forged or falsified, such as contracts, etc., as prescribed by Presidential Decree. <Newly Inserted by Act No. 9263, Dec. 26, 2008>[This Article Newly Inserted by Act No. 4810, Dec. 22, 1994]

(1) When a tax official receives the returns of tax base, revised returns of tax base and requests for correction, or the documents relating to the return of tax base, revised return of tax base and request for correction, and other documents prescribed by Presidential Decree from a taxpayer or a person with the liability to submit the data for taxation (hereinafter referred to as the “taxpayer, etc.”), he shall deliver the receipt thereof: Provided, That in cases prescribed by Presidential Decree such as the return by postal service, the same shall not apply. <Amended by Act No. 7930, Apr. 28, 2006>(2) When the returns, etc. under paragraph (1) are received from taxpayers, etc. by means of national tax information and communications networks, the fact of their receipt may be notified in the electronic forms. <Newly Inserted by Act No. 5993, Aug. 31, 1999; Act No. 6782, Dec. 18, 2002>[This Article Newly Inserted by Act No. 5189, Dec. 30, 1996]

(1) The Commissioner of the National Tax Service may publish the identity, etc. of the persons falling under any of the following subparagraphs, notwithstanding the provisions of Article 81-10: <Amended by Act No. 8830, Dec. 31, 2007>1. Identity, amount in arrears, etc. of the delinquent taxpayer whose national tax in arrears (including the national taxes disposed of as deficit, of which negative prescription has not yet completed) amounts to not less than 1 billion won, for which two years have elapsed from the date on which delinquency began; or2. Identity, details of additional charge of national tax, etc. of the organizations that unfaithfully receive donations (hereafter referred to as “unfaithful donation receiving organization” in this Article) prescribed by Presidential Decree.(2) The National Tax Information Disclosure Deliberative Committee (hereafter referred to as the “Committee” in this Article) mandated to deliberate whether to publish the identity, amount in arrears or detail of national tax to charge additionally of a delinquent taxpayer or unfaithful donation receiving organization pursuant to paragraph (1) shall be set up under the National Tax Service. <Amended by Act No. 8830, Dec. 31, 2007>(3) The Commissioner of the National Tax Service shall notify the persons who are the object of publication deliberated by the Committee that they are on the roll of delinquent taxpayers or unfaithful donation receiving organizations to be published, shall provide them with an opportunity to explain their position, and shall select persons liable for publication taking into account whether they have paid national taxes in arrears, or they have conducted the responsibilities, etc. of preparing, keeping the detail of issuing donation receipts after having the Committee deliberate again whether to publish the roll of delinquent taxpayers or unfaithful donation receiving organizations after an elapse of 6 months from the date of notification. <Amended by Act No. 8830, Dec. 31, 2007>(4) The publication referred to in paragraph (1) shall be made by means of posting their roll in the Official Gazette and in the national tax informa tion and communications network or on the bulletin boards of competent tax offices.(5) Necessary matters concerning the publication of the roll of delinquent taxpayers or unfaithful donation receiving organizations and necessary matters concerning composition and operation, etc. of the Committee referred to in paragraphs (1) through (4) shall be prescribed by Presidential Decree. <Amended by Act No. 8830, Dec. 31, 2007>[This Article Newly Inserted by Act No. 7008, Dec. 30, 2003]

(1) The Commissioner of the National Tax Service shall prepare and manage statistical data (hereinafter referred to as “statistical data”) by analyzing and processing taxation information. In this case, such statistical data shall be prepared in ways, making impossible to confirm or presume of a taxpayer’s taxation information neither directly method nor indirectly.(2) The Commissioner of the National Tax Service may publish statistical data to the public upon deliberation of the National Tax Statistics Deliberation Committee prescribed by Presidential Decree.(3) Where the relevant standing committee of the National Assembly requests statistical data necessary for the examination of a bill for the enactment of tax-related Act or of a bill for the amendment to tax-related Act by resolution, the Commissioner of the National Tax Service shall provide them within the extent of purposes and shall send one copy of the statistical data that have been provided to the Minister of Strategy and Finance. <Amended by Act No. 8860, Feb. 29, 2008>(4) Persons who have come to know statistical data (excluding the one that has been published pursuant to paragraph (2)) that has been provided or sent pursuant to paragraph (3) shall not use them for purposes other than original purposes.(5) Matters necessary for the procedures of providing statistical data, etc. pursuant to paragraph (3) shall be prescribed by Presidential Decree.[This Article Newly Inserted by Act No. 8830, Dec. 31, 2007] ≪Enforcement Date: Jan. 1, 2010≫

Matters necessary for enforcement of this Act shall be determined by Presidential Decree.

ADDENDA(1) (Enforcement Date) This Act shall enter into force on January 1, 1975: Provided, That the provisions of Chapter Ⅶ shall enter into force on April 1, 1975.(2) (Repealed Act) The Request for National Tax Examination Act shall hereby be repealed on the day on which the provisions of Chapter Ⅶ of this Act enter into force.(3) (Transitional Measures) For settlement of cases that have been requested for a re-investigation, examination or re-examination under the Request for National Tax Examination Act, or for an examination under the Board of Audit and Inspection Act, before the provisions of Chapter Ⅶ of this Act come into effect, the previous provisions shall apply.(4) (Transitional Measures) Any disposition, offer of a security, return, application, request or other procedure that has been carried out under tax-related Acts before the enforcement of this Act, and that conforms to the provisions of this Act, shall be considered to be carried out under this Act.(5) (Transitional Measures) The special measure tax imposed at the time this Act comes into effect, under the previous Special Measure Tax for Repressing Speculation on Real Estate Act shall be considered as a national tax under subparagraph 1 of Article 2 of this Act.(6) (Relation to Other Acts or Subordinate Statutes) When the provisions of the previous National Tax Collection Act are cited in other Acts and subordinate statutes, if there are provisions corresponding to them in this Act, such provisions of this Act shall be considered to be cited in lieu of them.ADDENDUM <Act No. 2925, Dec. 22, 1976>This Act shall enter into force on January 1, 1977.ADDENDA <Act No. 2932, Dec. 22, 1976>

This Act shall enter into force on enforcement date of the Value-Added Tax Act.

ADDENDUM <Act No. 3097, Dec. 5, 1978>This Act shall enter into force on the date of its promulgation.ADDENDA <Act No. 3199, Dec. 28, 1979>(1) (Enforcement Date) This Act shall enter into force on January 1, 1980.(2) (General Application) This Act shall be applied to the portion for which the first return on tax base is filed after this Act enters into force.(3) (Applicability concerning Additional Refund of National Tax) The provisions of subparagraph 6 of Article 52 shall be applicable to the portion in the business year of the juristic person concerned, commencing after this Act enters into force.ADDENDA <Act No. 3471, Dec. 31, 1981>(1) (Enforcement Date) This Act shall enter into force on January 1, 1982.(2) (Applicability) The provisions of Article 21 (2) 5 shall be applicable to the portion of telephone charges received by the Korea Telecommunications Corporation, and for the portion of telephone charges received by the postal service organization before the said Corporation begins its business, the previous provisions shall be applicable.(3) (Applicability concerning) The provisions of Article 35 (2) and (3)shall be applicable to the portion registered provisionally first after this Act enters into force.ADDENDA <Act No. 3746, Aug. 7, 1984>

This Act shall enter into force on January 1, 1985.

The revised provisions of Article 5-2 shall be applied to the portions with post marks under the Postal Services Act on or after the date on which this Act enters into force.

(1) The revised provisions of Article 26-2 shall be applied to the portion of taxes for which the day to levy national tax begins to run after the enforcement of this Act.(2) With respect to a portion of national taxes for which the day to levy them has begun to run before the enforcement of this Act, and the period referred to in Article 27 is not terminated as of the enforcement day of this Act, the previous provisions shall be applied: Provided, That they shall not be levied after the period of exclusion prescribed by the revised provisions of Article 26-2 after this Act enters into force.

The revised provisions of Article 28 (3) shall be applied to a portion for which the disposition of tax in arrears is postponed for the first time after this Act enters into force.

The revised provisions of Article 35 (1) 4 shall be applied to the portion of the payment term of which arrives first after this Act enters into force.

The revised provisions of Articles 61 (2) and 81 shall be applied to portions which are subject to motion for correction, review or decision for the first time after this Act enters into force.

The revised provisions of Article 83 (1) shall be applied to the portions first notified after this Act enters into force.

ADDENDA <Act No. 3754, Dec. 15, 1984>

This Act shall enter into force on October 1, 1985.Articles 2 through 6 Omitted.

ADDENDA <Act No. 3755, Dec. 15, 1884>

This Act shall enter into force on October 1, 1985.

ADDENDA <Act No. 4177, Dec. 30, 1989>

This Act shall enter into force on January 1, 1990.

ADDENDA <Act No. 4277, Dec. 31, 1990>

This Act shall enter into force on January 1, 1991.

The revised provisions of the proviso of Article 26-2 (1) 1 shall apply to the national tax for which the date of imposing the inheritance or gift tax for the first time after this Act enters into force.

The revised provisions of Article 35 (4) shall apply to the portion the legal term of which arrives first after this Act enters into force.

The revised provisions of Article 35-2 shall apply to the portion to be seized first after this Act enters into force.

With respect to a collection after September 3, 1990, of any national taxes or additional dues which become due pursuant to the revised provisions of each items of Article 35 (1) 3 before this Act enters into force, from the proceeds of sale of the property, the term of the tax payment shall be considered as the legal payment day, and the revised provisions of Article 35 (1) 3, paragraph (2) of the said Article, and Article 42 (1) shall be applicable.[This Article Wholly Amended by Act No. 4672, Dec. 31, 1993]<This Article is amended by Act No. 4672 on December 31, 1993 following the decision of unconstitutionality made by the Constitutional Court on September 27, 1993>

The previous provisions of Article 35 (1) 4 shall apply to the priority small guaranty money to the national tax or additional dues, the payment term of which arrives before the enforcement of this Act.

ADDENDA <Act No. 4561, Jun. 11, 1993>

This Act shall enter into force on January 1, 1994.

ADDENDA <Act No. 4672, Dec. 31, 1993>

This Act shall enter into force on the date of its promulgation.

The revised provisions of Article 26-2 (1) shall apply to those which are subject to the imposition of national taxes after this Act enters into force, and the revised provisions of paragraph (2) of the said Article, to those of which mutual agreement is concluded for the first time after this Act enters into force.

The revised provisions of Article 30 (5) shall apply to the portion of a security for the tax payment offered for the first time after this Act enters into force.

The revised provisions of Article 35 (1) 3 (f) shall apply to the portion seized under Article 24 (2) of the National Tax Collection Act for the first time after this Act enters into force.

The revised provisions of Articles 39 and 41 shall apply to the portion of the secondary liability for tax payment notified to the contributor or transferee of an enterprise for the first time after this Act enters into force.

The revised provisions of Article 49 shall apply to the portion returned after revised for the first time after this Act enters into force.

The revised provisions of Article 52 shall apply to the portion to appropriate or pay any national tax refund for the first time after this Act enters into force.

The revised provisions of Articles 56, 60, 61(2) and 68 shall apply to the objection, request for examination or tax appeals pending as of the enforcement day of this Act, and those of Articles 61 (3), 66 and 81, to the objection, request for examination or tax appeals made by mail for the first time after this Act enters into force.

Any national tax or additional dues for which the seizure registrationdate is considered as the legal term pursuant to the provisions of the previous Article 35-2 before this Act enters into force, shall be governed by the previous provisions.

ADDENDA <Act No. 4743, Mar. 24, 1994>

This Act shall enter into force on July 1, 1994.

ADDENDA <Act No. 4810, Dec. 22, 1994>

This Act shall enter into force on January 1, 1995: Provided, That the revised provisions of Article 56 shall enter into force on March 1, 1998.

The revised provisions of Article 24 (2) shall apply to the portion the inheritance of which commences for the first time after this Act enters into force.

The revised provisions of Article 26-2 (1) shall apply to the portion to which the national tax is to be assessed for the first time after this Act enters into force.

The revised provisions of Articles 45 and 49 shall apply to the portion the revised return on which is made for the first time after this Act enters into force.

The revised provisions of Article 45-2 shall apply to the portion of the taxable period which commences for the first time after this Act enters into force.

The revised provisions of Article 52 shall apply to the finally returned portion of the income accruing in 1995.

The revised provisions of Article 55-2 shall apply to those for which the procedure of mutual agreement is going on after this Act enters into force.

The revised provisions of Article 56 shall apply to the portion of the request for examination or tax appeals pending on March 1, 1998.

ADDENDA <Act No. 4981, Dec. 6, 1995>

This Act shall enter into force on January 1, 1996. (Proviso Omitted.)

ADDENDA <Act No. 5189, Dec. 30, 1996>

This Act shall enter into force on the date of its promulgation: Provided, That the revised provisions of Articles 81-2 (2) and 85-4 shall enter into force on July 1, 1997.

The revised provisions of the proviso to Article 8 (2) shall apply to the portion to execute the notification and demand of tax payment for the first time after this Act enters into force.

The revised provisions of Article 10 (4) shall apply to the document to be served for the first time after this Act enters into force.

The revised provisions of the proviso to Article 26-2 (1) shall apply to the portion to commence on a mutual agreement procedure for the first time after this Act enters into force.

The revised provisions of Article 51 shall apply to the portion to appropriate or refund national taxes for the first time after this Act enters into force.

The revised provisions of Articles 55 (2) and 66 (1) shall apply to the portion of the application for objection, request for investigation or request for judgement made for the first time after this Act enters into force.

ADDENDA <Act No. 5193, Dec. 30, 1996>

This Act shall come into force on January 1, 1997.

ADDENDUM <Act No. 5454, Dec. 13, 1997>This Act shall enter into force on January 1, 1998: Provided, That the amended provisions of Article 56 (4) shall enter into force on March 1,1998.ADDENDA <Act No. 5579, Dec. 28, 1998>

This Act shall enter into force on January 1, 1999.

The amended provisions of Article 11 (1) shall apply to the initial document which is publicly announced after this Act enters into force.

The amended provisions of the former part of Article 24 (2) shall apply to the initial inheritance which commences after this Act enters into force.

The amended provisions of Article 25 (2) and (3) shall apply to any notice of the discharge of liability for tax payment given to the initial juristic person that splits up, is established, or exists due to split-up or merger with any other juristic person after split-up, after this Act enters into force.

(1) The amended provisions of Articles 55, 56, 60 through 63, 65, 66, 68 and 70 shall apply to the initial objection, request for examination or tax appeals or administrative litigation which is filed after this Act enters into force.(2) With respect to any disposition to which an objection, request for examination or tax appeals or administrative litigation is not filed at the time when this Act enters into force and for which a period of filing thereof under the previous provisions expires, an objection, request for examination or tax appeals or administrative litigation may not be filed.

The amended provisions of Article 85-3 shall apply to the initial taxation period or business year after this Act enters into force.

ADDENDA <Act No. 5993, Aug. 31, 1999>

This Act shall enter into force on January 1, 2000: Provided, That the revised provisions of subparagraph 18 of Article 2 and Articles 5 (3), 5-2 (2), 43 (1) (proviso), 85 (1) (proviso), and 85-4 (2) shall enter into force from July 1, 2000.

This Act shall apply to the case of an objection or a request for examination or adjudgment raised after this Act enters into force.

(1) With respect to an objection raised under the previous provisions before the enforcement of this Act, of which a request for examination is not filed after receiving a notice of decision thereon, a request for examination and adjudgment may be filed under the previous provisions.(2) With respect to a request for examination filed under the previous provisions before the enforcement of this Act, which is pending as of the enforcement date of this Act or on which a request for adjudgment is not raised after receiving a notice of decision thereon, a request for adjudgment may be raised under the previous provisions, and an administrative litigation may be instituted under the provision of this Act.

The previous provisions shall be applicable to the tax judges in active service at the time of enforcement of this Act during the remaining terms, notwithstanding the revised provisions of Article 67 (4).

ADDENDA <Act No. 6070, Dec. 31, 1999>(1) (Enforcement Date) This Act shall enter into force on January 1, 2000.(2) (Applicability concerning Limitation Period of National Tax Levying) The revised provisions of Article 26-2 (3) shall be applicable from the case where the date of levying an inheritance tax or gift tax commences after the enforcement of this Act.(3) (Applicability concerning Initial Date in Reckoning of Additional Refund of National Tax) The revised provisions of subparagraph 6 of Article 52 shall be applicable from the portion of first transfer after this Act enters into force.ADDENDA <Act No. 6299, Dec. 29, 2000>

This Act shall enter into force on September 1, 2001.

ADDENDA <Act No. 6303, Dec. 29, 2000>(1) (Enforcement Date) This Act shall enter into force on the date of its promulgation: Provided, That the amendments to subparagraph 18 of Article 2 shall enter into force on July 1, 2001.(2) (Applicability concerning Revised Returns and Request for Correction) The amendments to Articles 45 (1) 3 and 45-2 (1) shall be applicable from the portion of taxable period whereto the enforcement date of this Act belongs.(3) (Applicability concerning Appropriation and Refund of National Tax Refund) The amendments to Article 51 (2) and (3) shall be applicable from the portion of appropriation or payment of national tax refund first made after this Act enters into force.(4) (Applicability concerning Initial Date in Reckoning Additional Amount to National Tax Refund) The amendments to subparagraphs 1 and 6 of Article 52 shall be applicable from the portion of appropriation or payment of national tax refund first made after this Act enters into force.(5) (Applicability concerning Succession of Status for Requesting Examination and Adjudgment) The amendments to Articles 56 (1) and 65-2 shall be applicable from the portion of filing objections or requesting examination or adjudgment in progress on the enforcement date of this Act.ADDENDA <Act No. 6782, Dec. 18, 2002>(1) (Enforcement Date) This Act shall enter into force on the date of its promulgation.(2) (Applicability concerning Effect of Correction, etc.) The amendments to Article 22-2 shall be applicable to the revision which is made after this Act enters into force.(3) (Applicability concerning Deposit Money for Lease of Commercial Building Taking Precedence over National Tax) The amendments to Article 35 (1) 4 shall be applicable beginning with the enforcement date of the Protection of Commercial Building Lend-Lease Act, Act No. 6542.(4) (Applicability concerning Refund of Property Paid in Kind) The amendments to Article 51-2 shall be applicable to the application for payment in kind which is made after this Act enters into force.ADDENDA <Act No. 7008, Dec. 30, 2003>

This Act shall enter into force on the date of its promulgation: Provided, That the portion related to the secondary tax payment liability provided for in Article 104-7 (4) of the Special Tax Treatment Control Act from among the proviso of Article 3 (1) shall enter into force on January 1, 2004.

The amended provisions of Article 6-2 shall apply, starting with theportion whose payment deadline is extended in accordance with Article 6 after this Act enters into force.

The amended provisions of the proviso of Article 10 (2) shall apply, starting with the portion that is delivered first after this Act enters into force.

The amended provisions of Article 45-2 (4) shall apply, starting with the taxable year to which the enforcement date of this Act belongs.

The amended provisions of Article 51 (4) shall apply, starting with the portion for the refund of which an application is filed first after this Act enters into force.

The amended provisions of subparagraphs 6 and 7 of Article 52 shall apply, starting with the portion for which the refunded amount of thenational tax is appropriated or paid first after this Act enters into force.

The amended provisions of Article 65 (2) shall apply, starting with the portion for which a claim is filed first for examination after this Act enters into force.

ADDENDA <Act No. 7032, Dec. 31, 2003>

This Act shall enter into force on the date of its promulgation.

ADDENDUM <Act No. 7329, Jan. 5, 2005>This Act shall enter into force on the date of its promulgation.ADDENDA <Act No. 7582, Jul. 13, 2005>(1) (Enforcement Date) This Act shall enter into force on the date of its promulgation.(2) (Transitional Measures concerning Request for Correction, etc.) The amended provisions of Article 45-2 (1) shall apply with respect to the request for a decision or correction for which the term set in the previous provisions has not yet expired after this Act enters into force.ADDENDA <Act No. 7796, Dec. 29, 2005>

This Act shall enter into force on July 1, 2006.

ADDENDA <Act No. 7930, Apr. 28, 2006>(1) (Enforcement Date) This Act shall enter into force on the date of its promulgation: Provided, That the amended provisions of Article 25 (4) shall apply on April 1, 2006.(2) (Applicability concerning Joint Liability to Tax Payment following Establishment of New Company) The amended provisions of Article 25 (4) shall apply to a new company established for the first time after this Act enters into force.(3) (Applicability concerning Payment of Bounty to Reporter of Concealed Property) The amended provisions of Article 84-2 shall apply to the first report of concealed property after this Act enters into force.(4) (Transitional Measures concerning Extension of Deadline for Application for Judgment on Propriety before Tax Levying) The amended provisions of Article 81-10 (1) shall apply to a person who has been notified before the enforcement of this Act.ADDENDA <Act No. 8139, Dec. 30, 2006>

This Act shall enter into force on January 1, 2007: Provided, That the amended provisions of Article 3 (1) and the amended provisions of Articles 47-2 through 47-5 concerning the comprehensive real estate holding tax (including the special tax for rural development the principal tax of which is the comprehensive real estate holding tax) shall take effect on January 1, 2008; and the amended provisions of Article 84-2, on July 1, 2007.

The amended provisions of Article 7 shall also apply with respect to a notification of tax payment, a notice of payment, an urging note or a notice of demand of payment for which the term of payment has come before the enforcement of this Act.

The amended provisions of Article 28 (3) and (4) shall apply with respect to a lawsuit for the cancellation of a fraudulent act which is filed after this Act enters into force.

The amended provisions of Article 39 shall apply with respect to the duty of tax payment which is owed after this Act enters into force.

The amended provisions of Article 45-2 (4) shall apply starting with the taxable year to which the enforcement date of this Act belongs.

The amended provisions of Article 45-3 shall apply with respect to the legal return term which comes after this Act enters into force.

(1) The amended provisions of Articles 47-2 through 47-5 concerning the income tax (limited to the income tax on the global income and inluding the special tax for rural development the principal tax of which is the income tax) and the corporation tax (limited to the corporation tax on each business year’s income and including the special tax for rural development the principal tax of which is the corporation tax) shall apply with respect to the taxable year which commences after this Act enters into force.(2) The amended provisions of Articles 47-2 through 47-5 concerning the income tax (including the special tax for rural development the principal tax of which is the income tax) on the retirement income and transfer income shall apply with respect to the retirement income and transfer income which accrue after this Act enters into force.(3) The amended provisions of Articles 47-2 through 47-5 concerning the corporation tax (including the special tax for rural development the principal tax of which is the corporation tax) on the liquidation income shall apply with respect to the liquidation income which accrues due to any dissolution, merger or division made after this Act enters into force.(4) The amended provisions of Articles 47-2 through 47-5 concerning the value-added tax shall apply with respect to the taxable period which commences after this Act enters into force.(5) The amended provisions of Articles 47-2 through 47-5 concerning the inheritance tax and gift tax shall apply with respect to the inheritance and gift which are made oafter this Act enters into force.(6) The amended provisions of Articles 47-2 through 47-5 concerning the special consumption tax (including the special tax for rural development the principal tax of which is the special consumption tax), the transportation energy environment tax and the liquor tax shall apply with respect to the object of taxation which is carried out of the manufacturing place or warehouse or sold at a selling place, or when entering a place of taxation or performing an act for amusement, food and drink at an amusement quarter after this Act enters into force.(7) The amended provisions of Articles 47-2 through 47-5 concerning the securities transaction tax (including the special tax for rural development the principal tax of which is the securities transaction tax) shall apply with respect to the stock certificate, etc. which is transferred after this Act enters into force.(8) The amended provisions of Articles 47-2 through 47-5 concerning the comprehensive real estate holding tax (including the special tax for rural development the principal tax of which is the comprehensive real estate holding tax) shall apply with respect to the duty of tax payment which is owed after this Act enters into force.(9) With respect to the amended provisions of Articles 47-2 through 47-5, the amended provisions of the educational tax assessed on the revenue of financial and insurance businessmen shall apply to the period of taxation which commences on or after the enforcement date of this Act, and the amended provisions of the educational tax assessed on the amount of the special consumption tax, the transportation energy environment tax and the liquor tax shall apply to the object of taxation which is carried out of the manufacturing place or warehouse or sold at a selling place, or when entering a place of taxation or performing an act for amusement, food and drink at an amusement quarter after this Act enters into force.(10) With respect to the amended provisions of Articles 47-2 through 47-5, the special tax for rural development assessed on the reduced or exempted amount of the income tax on the income from interest or dividend under Article 5 (1) 2 of the Special Tax Law for Rural Development shall apply to the income from interest or dividend which is paid on or after the enforcement date of this Act, and the amended provisions of the special tax for rural development the principal tax of which is the acquisition tax, registration tax or leisure tax, to the portion which is acquired, registered or sold after this Act enters into force.(11) The amended provisions of Articles 47-2 through 47-5 concerning the special tax for rural development assessed on the reduced or exempted amount of the customs duties and concerning the value-added tax, the transportation energy environment tax, the special consumption tax, the liquor tax, the educational tax and the special tax for rural development assessed on imported goods shall apply with respect to the portion for which the declaration of import is made after this Act enters into force.

(1) The amended provisions of Article 48 (2) 2 and 4 shall apply with respect to the duty of the return, submission, joining, registration or establishment for which the term of fulfillment arrives on or after the enforcement date of this Act.(2) The amended provisions of Article 48 (2) 3 shall apply with respect to the notification of a decision on judgment of propriety before taxlevying which is given after this Act enters into force.

The amended provisions of Article 49 shall apply with respect to a violation of the obligation provided for in any tax-related Act which is committed after this Act enters into force.

The amended provisions of subparagraph 7 of Article 52 shall apply beginning from a request for correction filed after this Act enters into force.

The amended provisions of Article 71 shall apply with respect to the evidential documents and other evidences which are submitted after this Act enters into force.

(1) The amended provisions of the main sentence of Article 81-7 (1) shall apply with respect to the advance notice which is made after this Act enters into force.(2) The amended provisions of Article 81-7 (3) shall apply with respect to the request for postponement of investigation which is made after this Act enters into force.

The amended provisions of Article 81-12 (5) and (6) shall apply with respect to the request for judgment of propriety before tax levying which is made after this Act enters into force.

The amended provisions of Article 84-2 (1) 3 and 4 shall apply with respect to the report which is made after this Act enters into force.

With respect to the additional tax assessed or to be assessed pursuant to the provisions of any tax-related Act falling under any one of the following subparagraphs before the enforcement of this Act, the previous provisions of the relevant tax-related Act shall apply, notwithstanding the amended provisions of the relevant tax-related Act amended in accordance with Article 15 (1) through (7) of the Addenda:1. The Act for the Coordination of International Tax Affairs: Article 13 of the Act for the Coordination of International Tax Affairs;2. The Special Tax Law for Rural Development: Article 11 of the Special Tax Law for Rural Development;3. The Inheritance Tax and Gift Tax Act: Article 78 (1) and (2) of theInheritance Tax and Gift Tax Act;4. The Stamp Tax Act: Article 8-2 of the Stamp Tax Act;5. The Liquor Tax Act: Article 27 of the Liquor Tax Act;6. The Securities Transaction Tax Act: Article 14 of the Securities Transaction Tax Act; and7. The Special Consumption Tax Act: Articles 13 and 24 (1) 1 of the Special Consumption Tax Act.

ADDENDA <Act No. 8372, Apr. 11, 2007>

This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)

ADDENDA <Act No. 8521, Jul. 19, 2007>

This Act shall enter into force on the date of its promulgation.

ADDENDA <Act No. 8830, Dec. 31, 2007>

This Act shall enter into force on January 1, 2008: Provided, That the amended provisions of Article 46-2 shall enter into force on October 1, 2008, and the amended provisions of Article 85-6 shall enter into force on January 1, 2010.Article 2 (Applicability Concerning Exceptions to Exclusion Period of Imposition to Real Business Operator)The amended provisions of Article 26-2 (3) shall apply beginning from the first decision or judgment made after this Act enters into force. <Amended by Act No. 9263, Dec. 26, 2008>Article 3 (Applicability Concerning Payment of National Taxes by Credit Card, etc.)The amended provisions of Article 46-2 shall apply beginning from the first report or payment made after October 1, 2008.Article 4 (Applicability Concerning Payment of Bounty)The amended provisions of Article 84-2 (1) shall apply beginning from the first report made after this Act enters into force.Article 5 Omitted.

ADDENDA <Act No. 8860, Feb. 29, 2008>

This Act shall enter into force on the date of its promulgation.

A requested adjudgment that is proceeding at the time when this Act enters into force is deemed to be requested pursuant to this Act.

At the time this Act enters into force, national tax judges, permanent national tax judges, non-permanent national tax judges, the committee of national tax judges, the joint cession of national tax judges under the previous provisions are deemed as tax judges, permanent tax judges, non-permanent tax judges, the committee of tax judges, the joint cession of tax judges under this Act.

Public officials who belong to the Tax Tribunal is deemed to belong to the Tax Tribunal.

In cases of the term “national tax judge” is quoted in other Acts or subordinate statues at the time this Act enters into force, the term “tax judge” shall be deemed to be quoted.

ADDENDA <Act No. 9131, Sep. 26, 2008>

This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)

ADDENDA <Act No. 9263, Dec. 26, 2008>

This Act shall enter into force on January 1, 2009: Provided, That the amended provisions of Article 39 (1) shall enter into force on February 4, 2009, and the amended provisions of Article 85-3 (4) shall enter into force on April 1, 2009.

(1) The amended provisions of Article 26-2 (1) shall apply beginning from the deficit incurred in the taxable period first commencing after this Act enters into force.(2) The amended provisions of Article 26-2 (2) shall apply beginning from the correction first requested after this Act enters into force.

The amended provisions of Article 45-2 (4) shall apply beginning from the correction first requested after this Act enters into force.

The amended provisions of Article 48 shall apply beginning from the revised return first filed after this Act enters into force.

The amended provisions of Article 81-12 (7) shall apply beginning from the notification first given after this Act enters into force.

The amended provisions of Article 85-2 shall apply beginning from the work bonus first paid after this Act enters into force.

(1) Any act done by the committee on the judgment of propriety before tax levying established in the National Tax Service and by the Deliberative Committees on Objections and the committees on the judgment of propriety before tax levying established in the regional tax offices and tax offices under the former provisions at the time when this Act enters into force shall be each deemed to be an act done by the National Tax Examination Committees established under this Act.(2) Any act toward the committee on the judgment of propriety before tax levying established in the National Tax Service and by the Deliberative Committees on Objections and the committees on the judgment of propriety before tax levying established in the regional tax offices and tax offices under the former provisions at the time when this Act enters into force shall be each deemed to be an act toward the National Tax Examination Committees established under this Act.

ADDENDUM <Act No. 9412, Feb. 6, 2009>This Act shall enter into force on the date of its promulgation.