Transferingbusiness which is not regarded as supplying of goods.

                                                                     21^stDec 2016

                                                                     Written by HeeDo, Kim. CTA 

                                                                     Translated by Eun Kyung, Park

Ⅰ. Outline

 Transferring business is not regarded assupplying goods. Value added tax is not requested by government for this.

Ⅱ. Issue

 If its case is transfering business which isnot requested VAT or not.

Ⅲ. Example

 (1) Example

   1. Fact

     ① “A” built 7 storiesbuilding in 2008 in Chungnam.

     ② “A” registeredbusiness as leasing real estate.

     ③ “A” sold thisbuilding to dentist “B” who rent office from “A”

        “B” who rent office from A and issuedtax invoice.

        (“A” transferred loan and deposit oflessee).

     ④ “B” still run hisoffice(dental clinic).

     ⑤ “B” registered aslease business operator for other place except his clinic.

     He got deduction for input tax.

  2. Judgement

    According to the value added tax 10. 8-2 itis not supplying of

goods.

Ⅵ. Related law

    ·Value added tax decreee 23.

• Value added tax law6-17-1.

• Value added tax law6-17-2.