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ENFORCEMENT DECREE OF THE RESTITUTION OF DEVELOPMENT GAINS ACT

Wholly Amended by Presidential Decree No. 20878, jun. 25, 2008

Amended by Presidential Decree No. 21445, Apr. 21, 2009

Presidential Decree No. 21515, May 29, 2009

Presidential Decree No. 21558, jun. 25, 2009

Presidential Decree No. 21565, jun. 26, 2009

Presidential Decree No. 21656, Jul. 30, 2009

Presidential Decree No. 21744, Sep. 21, 2009

Presidential Decree No. 21835, Nov. 20, 2009

Presidential Decree No. 21881, Dec. 14, 2009

Presidential Decree No. 22395, Sep. 20, 2010

Presidential Decree No. 22626, Jan. 17, 2011

Presidential Decree No. 23073, Aug. 11, 2011

Presidential Decree No. 23291, Nov. 11, 2011

Presidential Decree No. 24443, Mar. 23, 2013

Presidential Decree No. 24638, jun. 28, 2013

Presidential Decree No. 25050, Dec. 30, 2013

Presidential Decree No. 25249, Mar. 11, 2014

Presidential Decree No. 25279, Mar. 24, 2014

Presidential Decree No. 25339, Apr. 29, 2014

Presidential Decree No. 25358, May 22, 2014

Presidential Decree No. 25452, Jul. 14, 2014

Presidential Decree No. 25456, Jul. 14, 2014

Presidential Decree No. 26108, Feb. 23, 2015

Presidential Decree No. 26302, jun. 1, 2015

Presidential Decree No. 27355, Jul. 19, 2016

Presidential Decree No. 27745, Dec. 30, 2016

Presidential Decree No. 27751, Dec. 30, 2016

Presidential Decree No. 27830, Feb. 3, 2017

Presidential Decree No. 28628, Feb. 9, 2018

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters delegated by the Restitution of Development Gains Act and matters necessary for the enforcement thereof. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
 Article 2 (Increases in Normal Land Prices)
(1) Increases in normal land prices defined in subparagraph 3 of Article 2 of the Restitution of Development Gains Act (hereinafter referred to as the "Act") shall be calculated by aggregating the increases in normal land prices of each year during the period of imposition, and the increases in normal land prices of each year shall be calculated by multiplying the land prices as of January 1 of the relevant year by the fluctuation rate of normal land prices of the relevant year. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(2) Where the period of imposition does not exceed one year (including where the starting point or the end point of imposition falls during the year), the increases in normal land prices of the relevant period of imposition shall be calculated by aggregating the increases in normal land prices of each month (increases in normal land prices of each month shall be calculated by multiplying the land prices as of the first day of the relevant month by the fluctuation rate of normal land prices of the same month), and the increases in normal land prices during part of a month shall be calculated by dividing the increases in normal land prices of the month by the number of days.
(3) Land prices as of January 1 of each year during and after the second year of period of imposition out of the period of imposition referred to in paragraph (1), shall be calculated by adding the increases in normal land prices in the period of imposition in the previous year to the land prices as of the starting point of imposition or January 1 of the previous year.
(4) The fluctuation rate of normal land prices prescribed in paragraph (1) shall be the average annual or monthly fluctuation rate of land prices (referring to the average fluctuation rate of land prices of a Si/Gun/autonomous Gu where the land subject to the relevant development project is located; hereinafter the same shall apply) investigated by the Minister of Land, Infrastructure and Transport pursuant to Article 125 of the National Land Planning and Utilization Act: Provided, That in calculating the increases in normal land prices referred to in Article 12 (1) 5 (a) hereof or subparagraph 2 of Article 8 of the Act, the average annual fluctuation rate of land prices (where the period of imposition is less than one year or where the starting point or the end point of imposition falls during a year, referring to the average fluctuation rate of land prices during the period of imposition that falls during the relevant year) or the interest rate of term deposits for the same period, whichever is the higher, shall apply. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(5) The interest rate of term deposits prescribed in the proviso to paragraph (4) shall be the rate determined and publicly notified each year by the Minister of Land, Infrastructure and Transport, taking into account the average applicable interest on term deposits of commercial banks with the maturity of one year. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
 Article 3 (Distribution, etc. of Money Collected)
(1) A local government to which the amount equivalent to 50/100 of the development charges collected pursuant to Article 3 of the Act (hereinafter referred to as "charges") is to be vested shall be a Special Self-Governing City, Special Self-Governing Province, or Si/Gun/autonomous Gu (hereinafter referred to as "Si/Gun/Gu"). <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(2) In cases of a development project for which the Special Metropolitan City, a Metropolitan City, or a Do bears expenses incurred in procuring school sites under Article 4 of the Act on the Special Cases concerning the Procurement, etc. of School Sites, one half of the charges vested to a local government pursuant to Article 4 (1) of the Act (where the expenses borne by the Special Metropolitan City, a Metropolitan City, or a Do incurred in procurement of school sites fall short of one half of the charges reverted to the local government, referring to the amount equivalent to the expenses borne by such Special Metropolitan City, Metropolitan City, or Do) shall be vested to the relevant Special Metropolitan City, Metropolitan City, or Do and the remaining balance of the charges shall be vested to the relevant Si/Gun/autonomous Gu, notwithstanding paragraph (1). <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(3) Where the Minister of Land, Infrastructure and Transport has received any charges in kind under Article 18 (2) of the Act, he/she may distribute the land or building received in kind (hereinafter referred to as “property subject to payment in kind”) as charges to be vested in a Si/Gun/Gu. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27355, Jul. 19, 2016>
(4) A Si/Gun/Gu shall use development charges vested thereto under paragraphs (1) through (3) for the management of land and the efficient promotion of balanced regional development projects of the relevant Si/Gun/Gu and when necessary, may establish a special account for land management, as prescribed by municipal ordinance, using the reverted development charges as financial resources. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
 Article 4 (Projects Subject to Imposition)
(1) The scope of development projects subject to imposition of charges under Article 5 of the Act shall be as specified in attached Table 1, and the scale of a development project shall be as prescribed in the following subparagraphs, depending on the area covered by the development project (where the area is revised among registered matters pursuant to Article 84 of the Act on the Establishment, Management, etc. of Spatial Data before the end point of imposition, referring to such revised area) for which authorization, permission, a license, etc. (including reporting; hereinafter referred to as "authorization, etc.") is obtained from the State or a local government in accordance with the relevant Acts. In such cases, where the same person (including a corporation, and in cases of a natural person, including his/her spouse and lineal ascendants and descendants; hereinafter the same shall apply) executes a development project by virtually dividing contiguous parcels of land (including a group of connected land owned by the same person) within five years after a development plan is completed, a single development project shall be deemed executed over the whole area of land totalling each area of land covered by the project: <Amended by Presidential Decree No. 21881, Dec. 14, 2009; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 26302, Jun. 1, 2015>
1. In cases of a project executed in an urban area of the Special Metropolitan City, a Metropolitan City, or a Special Self-Governing City (excluding projects falling under subparagraph 3): at least 660 square meters;
2. In cases of a project executed in an urban area, other than that referred to in subparagraph 1 (excluding projects falling under subparagraph 3): at least 990 square meters;
3. In cases of a project executed in a development restriction zone of an urban area by a person who has owned the relevant land since the designation of such zone: at least 1,650 square meters;
4. In cases of a project executed in an area, other than urban areas: at least 1,650 square meters.
(2) Where a development project is executed extending over the areas falling under at least two subparagraphs of paragraph (1), the area of land subject to imposition shall be calculated in accordance with the following standards:
1. One square meter of the area falling under paragraph (1) 1 shall be deemed 1.5 square meters of the area falling under paragraph (1) 2, and 2.5 square meters of the area falling under paragraph (1) 3 or 4;
2. One square meter of the area falling under paragraph (1) 2 shall be deemed 5/3 square meters of the area falling under paragraph (1) 3 or 4.
(3) In calculating the scale of a project for preparation of a cooperative project complex, executed under the Small and Medium Enterprises Promotion Act, development projects shall be deemed executed respectively in each area of land of an individual small or medium enterprise proprietor that has participated in the project for preparation of a cooperative project complex (including the area calculated according to the share of each small or medium enterprise proprietor in the site for public facilities), notwithstanding paragraph (1). <Amended by Presidential Decree No. 21835, Nov. 20, 2009>
(4) In cases of a development project requiring changes of land category under subparagraph 7 of attached Table 1, the scales subject to the imposition of charges shall be those falling under the cases where, out of the area of the land for which authorization, etc. has been obtained from the State or a local government, the area the land category of which is changed virtually or on a public register falls under paragraph (1), notwithstanding paragraph (1). In such cases, the category of a single lot of land virtually being used for at least two purposes shall be subject to Article 59 of the Enforcement Decree of the Act on the Establishment, Management, etc. of Spatial Data. <Amended by Presidential Decree No. 21881, Dec. 14, 2009; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 26302, Jun. 1, 2015>
 Article 4-2 (Temporary Special Cases on Area of Land Covered by Projects Subject to Imposition of Charges)
The areas of land covered by development projects under attached Table 1, for which authorization is valid from January 1, 2017 to December 31, 2019, subject to imposition of development charges, notwithstanding subparagraphs 1 through 4 of Article 4 (1), shall be categorized by the following subparagraphs. In such cases, the calculation of the area of land shall be governed by Article 4 (2) through (4):
1. Project under Article 4 (1) 1: at least 1,000 square meters;
2. Project under Article 4 (1) 2: at least 1,500 square meters;
3. Project under Article 4 (1) 3 or 4: at least 2,500 square meters;
[This Article Newly Inserted by Presidential Decree No. 27745, Dec. 30, 2016]
 Article 5 (Scope, etc. of Partnership)
(1) "Partnership prescribed by Presidential Decree" in the main sentence of Article 6 (2) of the Act means the following partnerships: <Amended by Presidential Decree No. 27444, Aug. 11, 2016; Presidential Decree No. 28628, Feb. 9, 2018>
1. A housing association under Article 11 of the Housing Act;
(2) Charges that partners are obligated to pay under Article 6 (2) of the Act shall be calculated by allocating the charges and additional dues to each partner in accordance with the partnership agreement.
(3) When charges are imposed on partners under paragraph (2), a notice for payment under Article 19 shall be issued and the deadline for payment shall be 30 days from the date a notice of imposition is issued.
 Article 6 (Exemption from Imposition, and Reduction or Exemption)
(1) "Development projects prescribed by Presidential Decree" in Article 7 (1) of the Act means the following projects: <Amended by Presidential Decree No. 21558, Jun. 25, 2009; Presidential Decree No. 21656, Jul. 30, 2009; Presidential Decree No. 25452, Jul. 14, 2014>
1. Housing site development project under subparagraph 1 of attached Table 1 (including housing complex development projects);
2. Industrial complex development projects under subparagraph 2 of attached Table 1;
3. Tourist facilities complex preparation projects and tourist complex preparation projects under subparagraph 3 (a) and (b) of attached Table 1, among tourist complex preparation projects (including hot spring development projects) under subparagraph 3 of the same Table;
4. Urban development projects, regional development projects, and urban environment rearrangement projects under subparagraph 4 of attached Table 1 (excluding regional development projects under item (g) of the same subparagraph);
5. Site preparation projects for development of logistics complexes and logistics terminals under subparagraph 5 (d) and (e) of attached Table 1, among projects for preparation of sites for traffic facilities and logistics facilities under subparagraph 5 of the same Table;
6. Deleted. <by Presidential Decree No. 25452, Jul. 14, 2014>
(2) Public institutions subject to a 50/100-reduction of charges under Article 7 (2) 2 of the Act (hereinafter referred to as “institutions subject to reduction or exemption") shall be as follows: <Amended by Presidential Decree No. 21565, Jun. 26, 2009; Presidential Decree No. 21744, Sep. 21, 2009; Presidential Decree No. 21835, Nov. 20, 2009; Presidential Decree No. 25279, Mar. 24, 2014; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 26108, Feb. 23, 2015>
1. The following public institutions, among public institutions under the Act on the Management of Public Institutions:
(a) The Korea Land and Housing Corporation under the Korea Land and Housing Corporation Act;
(b) The Korea Water Resources Corporation incorporated under the Korea Water Resources Corporation Act;
(c) Deleted; <by Presidential Decree No. 21744, Sep. 21, 2009>
(d) The Korea Rural Community Corporation incorporated under the Korea Rural Community Corporation and Farmland Management Fund Act;
(e) The Korea National Tourism Organization incorporated under the Korea Tourism Organization Act;
(f) The Korea Railroad Corporation incorporated under the Korea Railroad Corporation Act;
2. Local government-invested public corporations and local government public corporations incorporated under the Local Public Enterprises Act, for the purpose of executing development projects referred to in paragraph (1);
3. The following public enterprises, among public enterprises and associations under Special Acts:
(a) The Small and Medium Business Corporation incorporated under the Small and Medium Enterprises Promotion Act;
(b) The Korea Industrial Complex Corporation incorporated under the Industrial Cluster Development and Factory Establishment Act;
(c) The Government Employees Pension Service incorporated under the Public Officials Pension Act;
(d) Agricultural cooperatives, joint business corporations of agricultural cooperatives, and the National Agricultural Cooperative Federation (including Nonghyup Agribusiness Group Inc. and its subsidiaries) incorporated under the Agricultural Cooperatives Act;
(e) Fisheries cooperatives and the National Federation of Fisheries Cooperatives incorporated under the Fisheries Cooperatives Act;
(f) Forestry cooperatives, the National Forestry Cooperatives Federation, and joint business corporations incorporated under the Forestry Cooperatives Act;
(g) The Korea Rail Network Authority incorporated under the Korea Rail Network Authority Act;
(h) The Korea Transportation Safety Authority incorporated under the Korea Transportation Safety Authority Act;
(i) The Korea Airports Corporation incorporated under the Korea Airports Corporation Act;
(j) The Korea Expressway Corporation incorporated under the Korea Expressway Corporation Act;
(k) The Incheon International Airport Corporation incorporated under the Incheon International Airport Corporation Act;
(l) Deleted; <by Presidential Decree No. 23073, Aug. 11, 2011>
(m) Small and medium enterprise cooperatives incorporated under the Small and Medium Enterprise Cooperatives Act;
(o) The Port Authority incorporated under the Port Authority Act;
(p) The Jeju Free International City Development Center incorporated under the Special Act on the Establishment of Jeju Special Self-Governing Province and the Development of Free International City.
(3) Development projects subject to a 50/100-reduction of charges under Article 7 (2) 2 of the Act shall be as follows: <Amended by Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 26108, Feb. 23, 2015>
1. Development projects referred to in subparagraphs of paragraph (1);
2. Projects for development of station impact areas and environs of railroads executed by the Korea Rail Network Authority pursuant to Article 23 of the Korea Rail Network Authority Act;
3. Projects for preparation of sites for facilities related to motor vehicles (limited to projects executed by the Korea Transportation Safety Authority pursuant to the Korea Transportation Safety Authority Act);
4. Projects for construction of rice processing complexes executed by agricultural cooperatives and the National Agricultural Cooperative Federation (including Nonghyup Agribusiness Group Inc. and its subsidiaries) pursuant to Article 22 of the Grain Management Act;
5. Deleted; <by Presidential Decree No. 23073, Aug. 11, 2011>
6. Projects for construction, renovation, maintenance, repair, dredging, etc. of harbor facilities executed by the Port Authority pursuant to Article 8 (1) 1 of the Port Authority Act;
7. Projects for development of station facilities and station impact area executed by the Korea Railroad Corporation pursuant to Article 9 (1) 5 and 6 of the Korea Railroad Corporation Act and Article 13 of the same Act.
(4) "Tourist complex preparation projects and site preparation projects for traffic facilities and logistics facilities prescribed by Presidential Decree" in the main sentence of Article 7 (2) 3 of the Act means any of the following projects: <Presidential Decree No. 25452, Jul. 14, 2014>
1. Projects for preparation of a tourist destination under subparagraph 3 (a) of attached Table 1;
2. Site preparation projects for logistics terminal projects under subparagraph 5 (e) of attached Table 1;
3. Site preparation projects for installation, etc. of warehouse facilities under subparagraph 8 (a) of attached Table 1.
 Article 6-2 (Reasons for Exclusion from Reduction)
"Any reason prescribed by Presidential Decree, such as that the price of the land owned by the relevant local government is likely to soar" in the latter part of Article 7 (4) of the Act means those satisfying each of the following conditions:
1. That the inflation rate of land prices in the month immediately preceding the request for reduction which is announced by a local government exceeds 130/100 of the inflation rate of the consumer price index;
2. That the average monthly inflation rate of land prices for two months retroactive from the immediately preceding month announced by a local government exceeds 130/100 of the nationwide inflation rate of land prices.
[This Article Newly Inserted by Presidential Decree No. 21558, Jun. 25, 2009]
 Article 6-3 (Projects Subject to Reduction and Standards and Procedures for Reduction)
(1) Under Article 7 (4) of the Act, the head of a local government shall request the Minister of Land, Infrastructure and Transport to reduce development charges after determining standards for reduction for development projects referred to in subparagraphs of Article 5 (1) of the Act. In such cases, the head of a local government may determine the rate and period of reduction differently depending on obligors of development charges under Article 6 of the Act, types of development projects, and the specific use areas and specific use districts of land, etc. where the development project is executed. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(2) If the head of a local government intends to request reduction of development charges, he/she shall submit a document specifying the standards for reduction determined under paragraph (1) and the reasons for reduction, to the Minister of Land, Infrastructure and Transport, along with a document evidencing that the approval is obtained by the local council and a document evidencing that the relevant project does not fall under any reason for exclusion from reduction under Article 6-2. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(3) If a local government that has requested reduction lacks any reason specified in Article 6-2, the Minister of Land, Infrastructure and Transport shall publicly announce the projects subject to reduction of development charges and the standards for reduction of the relevant local government and notify such details to the local government. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(4) The head of a local government shall allow the general public to inspect the projects subject to reduction of development charges and the standards for reduction referred to in paragraph (3).
[This Article Newly Inserted by Presidential Decree No. 21558, Jun. 25, 2009]
 Article 7 (Modification of Land-Use Plans, etc.)
(1) "Where the land-use plan, etc. prescribed by Presidential Decree is modified" in the main sentence of Article 9 (1) 1 of the Act means where any land on which a development project is being executed is designated or modified as a specific use area, specific use district, etc. referred to in attached Table 2 or the designation of the relevant land as a specific use area, specific use district, etc. is revoked: Provided, That where reverting land to the same specific use area, specific use district, etc. as at the time the land was acquired shall be excluded.
(2) In applying paragraph (1), if any land-use plan, etc. is modified at least twice often, the first modification made within five years before authorization, etc. is obtained shall be deemed modified pursuant to paragraph (1).
 Article 8 (Exception to Starting Point of Imposition)
(1) "Cases prescribed by Presidential Decree" and "date prescribed by Presidential Decree" in the proviso to Article 9 (1) 1 of the Act means:
1. Where a land-use plan, etc. is modified after at least two years from the acquisition date of the land, the date which is two years back from the date of modification;
2. Where a land-use plan, etc. is modified after a small or medium business proprietor defined in Article 2 of the Framework Act on Small and Medium Enterprises has acquired the land to prepare a factory site, the date of modification of the land-use plan, etc.
(2) The point of time of imposition for the land newly included in the land subject to imposition due to the modification of authorization, etc. under Article 9 (1) 2 of the Act shall be the following dates:
1. Where a land-use plan, etc. is modified under Article 7 before obtaining authorization for modification, etc., if the land has been acquired before the modification of the land-use plan, etc., the acquisition date or the date which falls under paragraph (1) 1 or (2);
2. Where a land-use plan, etc. is modified under Article 7 before obtaining authorization for modification, etc., if the land has been acquired during the period from the modification date of the land-use plan, etc. to the date the authorization for modification, etc. is obtained, the acquisition date of the land;
3. Where land does not fall under subparagraph 1 or 2, the modification date of authorization, etc.
 Article 9 (Authorization Date, etc. of Development Projects)
(1) The dates when authorization, etc. is obtained for development projects under Article 9 (2) of the Act and the dates when authorization of completion, etc. is obtained under Article 9 (4) of the Act shall be as specified in attached Table 3.
(2) Article 162 of the Enforcement Decree of the Income Tax Act shall apply mutatis mutandis to the date of acquisition referred to in Article 9 (2) of the Act.
(3) Where no date for obtaining authorization of completion, etc. which becomes the end point of imposition pursuant to Article 9 (3) of the Act is prescribed in the statutes, the following dates shall be the end points of imposition: <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
1. Where the obligor reports the actual date of completion of the development project to the Minister of Land, Infrastructure and Transport appending the document which evidences it, the date the completion of the development project is proved;
2. Where the obligor fails to report the actual date of completion of the development project or to evidence it, the date notified by the Minister of Land, Infrastructure and Transport to the obligor as the completion date of the development project after conducting an on-site verification.
 Article 10 (End Point of Imposition before Completion of Development Project)
(1) "Where --- <Omitted> ---, as prescribed by Presidential Decree" in Article 9 (3) 2 of the Act means any of the following:
1. In cases of a development project which develops land only, any of the following cases:
(a) Where any land, the development of which is actually completed, is transferred to a third person;
(b) Where the use of the land, such as construction of a building on the land actually developed, is started;
2. In cases of a development project, such as a housing construction project, under which land development and construction of buildings are executed at the same time, where the use of buildings is started with the authorization, etc. of the relevant administrative agency.
(2) In cases falling under paragraph (1), the end point of imposition of development charges shall be: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
1. Where the land is transferred to a third person under paragraph (1) 1 (a), the date which is the time referred to in Article 162 of the Enforcement Decree of the Income Tax Act;
2. Where the use of land is started under paragraph (1) 1 (b), the date a report on commencement of construction works is filed under Article 21 of the Building Act;
3. Where the use of a building is started under paragraph (1) 2, the date the approval for temporary use of the building is granted under Article 22 of the Building Act.
(3) "Other cases prescribed by Presidential Decree" in Article 9 (3) 3 of the Act means where any of the following causes occurs after commencing a development project:
1. Where the authorization, etc. for the development project is revoked as prescribed by the relevant Act;
2. Where it becomes impossible to complete the project because of the suspension of the development project due to bankruptcy of the project implementer or any other cause.
(4) In cases falling under paragraph (1), the area of land where the relevant project will be deemed completed before obtaining the authorization of completion, etc. of the development project shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 11 (Calculation of Land Prices)
(1) "Cases prescribed by Presidential Decree" in Article 10 (2) of the Act means: <Amended by Presidential Decree No. 21744, Sep. 21, 2009; Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27444, Aug. 11, 2016>
1. Where the selling price of a housing unit is determined with approval from a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu (referring to an autonomous Gu; hereinafter the same shall apply) under Article 54 (1) 1 of the Housing Act (limited to where the selling price of a housing unit is determined by applying the construction costs referred to in paragraph (3) 1);
2. Where the approval of conditions for supply of sites, etc. prepared by the project undertaker is obtained from the Minister of Land, Infrastructure and Transport or the head of a local government under Article 15 (1) of the Housing Act and Article 27 (6) of the Enforcement Decree of the same Act;
3. Where the approval of the implementation plan for a housing site development business, including the method of determining selling prices of housing sites, is obtained from the Minister of Land, Infrastructure and Transport or the head of a local government under Article 9 of the Housing Site Development Promotion Act and Article 8 of the Enforcement Decree of the same Act;
4. Where the price for sale in lots of land developed under Article 38 of the Industrial Sites and Development Act and Article 40 of the Enforcement Decree of the same Act is determined;
5. Where the price for sale in lots of land developed under a special area development project under Article 39 of the Industrial Sites and Development Act is determined by the same method as for determination of the price for sale in lots under Article 40 of the Enforcement Decree of the same Act;
6. Where the price for sale in lots of land purchased and developed by the Korea Land and Housing Corporation is determined pursuant to Article 16 of the Korea Land and Housing Corporation Act;
7. In cases similar to those falling under subparagraphs 1 through 6, where the price for sale in lots of land is determined after obtaining authorization, etc. from the State or a local government.
(2) The cases where a disposal price is calculated as the land value as at the end point under Article 10 (2) of the Act, shall be limited to where the purchase price is calculated as the land value as of the starting point under the proviso to Article 10 (3) of the Act.
(3) When the land value as at the end point becomes the disposal price under Article 10 (2) of the Act, if any land falls under paragraph (1) 1, the disposal price thereof shall be the value calculated by deducting the following amount from the price for sale in lots: Provided, That where an obligor has submitted a statement on construction costs paid under a subcontract concluded with the constructor registered under the Framework Act on the Construction Industry, the disposal price may be calculated by deducting the construction costs and the expenses referred to in subparagraph 2 from the price for sale in lots: <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
1. Construction costs determined and publicly notified by the Minister of Land, Infrastructure and Transport;
2. Incidental expenses related to the construction, which is prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport;
3. Costs paid for installation of an underground parking lot;
4. Where underground floors to be constructed in accordance with the Building Act and other related statutes are constructed exceeding the scale prescribed by such statutes, the expenses incurred in regard to the excessive part of construction.
(4) Upon receiving a notification of authorization, etc. concerning a development project from the relevant administrative agency pursuant to Article 25 of the Act, the Minister of Land, Infrastructure and Transport shall survey the land subject to imposition and calculate the land price as of the starting point without delay. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(5) "Cases prescribed by Presidential Decree" in Article 10 (3) 5 of the Act means any of the following: <Amended by Presidential Decree No. 22395, Sep. 20, 2010; Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
1. Where the land was purchased at or before the starting point of imposition (including where a sales contract was concluded at or before the starting point of imposition and the price of purchase has been paid at or after the starting point of imposition as agreed in the contract, for which the evidential documents prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport has been submitted) and the purchase price forms the tax base for acquisition tax;
2. Where a project implementer is a corporation, etc. under Article 21, 23, 36, 37, 38 (1) and (3), 40, 42 (3), 45, 47 (1), 49, 52 (1), 53, 54 (5) 1, 69, or 88 (2) of the Restriction of Special Local Taxation Act and the purchase price is that entered in the books of the corporation, etc.
(6) Where the actual price of purchase or acquisition becomes the land price as of the starting point as prescribed in the proviso to Article 10 (3) of the Act, if an obligor has purchased both the land and buildings, etc. erected thereon and it is unclear to distinguish between the prices of the land and the buildings, etc., the price calculated by dividing them as prescribed in Article 64 of the Enforcement Decree of the Value-Added Tax Act shall be deemed the price for purchase or acquisition of the land. <Amended by Presidential Decree No. 24638, Jun. 28, 2013; Presidential Decree No. 27355, Jul. 19, 2016>
(7) "Case prescribed by Presidential Decree" in Article 10 (5) of the Act means any of the following:
1. Where the land subject to imposition has no publicly notified individual land price, when calculating the land prices as of the starting point and as at the end point;
2. Where the purchase price is calculated as the land price as of the starting point as prescribed in the proviso to Article 10 (3) of the Act, when calculating the land price as at the end point.
 Article 12 (Calculation of Development Costs)
(1) The standards for calculation of development costs under subparagraphs of Article 11 (1) of the Act shall be as follows: <Amended by Presidential Decree No. 22395, Sep. 20, 2010; Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27355, Jul. 19, 2016; Presidential Decree No. 27472, Aug. 31, 2016>
1. Net construction costs: Aggregate of material cost, labor cost, and expenses paid for the relevant development project;
2. Survey costs: Aggregate of the following expenses for the direct execution of the relevant development project (referring to expenses not falling under net construction costs):
(a) Survey fees for execution of the relevant development project;
(b) Expenses for the various impact assessments that should be performed obligatorily in accordance with the relevant statutes or the conditions of authorization, etc. of the relevant development project;
(c) Expenses for ground surface inspection for and excavation of cultural heritage under Articles 6 (1) and 11 (3) of the Act on Protection and Inspection of Buried Cultural Heritage;
(d) Expenses for ground investigation of the land subject to the development project;
3. Design costs: Aggregate of expenses paid for design of the relevant development project;
4. General management expenses: Aggregate of expenses incurred in the area of management activities concerning the relevant development project;
5. Gratuitous donations: The prices of land, public facilities, etc. donated by the obligor to the State or a local government in accordance with the relevant statutes or the conditions of authorization, etc. of the relevant development project, calculated as follows: Provided, That where the purpose of the development project is for disposal, such as sale in lots to other persons, if the prices of land, public facilities, etc. donated are included in the disposal price, the foregoing shall apply only where the disposal price is calculated as the land price as at the end point under Article 11 (2):
(a) Price of land: Aggregate of the price of land as of the starting point and the increases in normal land prices during the period of imposition;
(b) Prices of public facilities, etc.: Aggregate of the price of land and the construction cost of such facilities;
6. The amount of charges paid: Aggregate of charges paid to the State or a local government in accordance with the relevant statutes or the conditions of authorization, etc. of the relevant development project;
7. Reclamation costs: Costs to improve the land subject to imposition, paid within three years retroactively from the date the authorization, etc. of the relevant development project is obtained, but not reflected in the land price as of the starting point;
8. Taxes and public charges: Aggregate of taxes and public charges paid to the State or a local government in connection with the execution of the relevant development project: Provided, That any of the following costs shall be excluded:
(a) Amount paid due to the acquisition or holding of the land subject for development project: Provided, That acquisition tax due to the change of land category shall be excluded;
(b) Amount paid for fines, administrative fines, penalty surcharges, surcharges, etc., due to violation of various statutes or obligations;
9. Compensation costs: Compensation costs for buildings, structures, standing trees, goodwill, etc., in the development project area that are not included in the land price. In such cases, the calculation of compensation costs for buildings shall be as follows:
(a) In cases of a building purchased to execute the development project: Actual purchase price which forms the tax base for acquisition tax;
(b) In cases of a building owned as at the time of the development: The current price base (hereinafter referred to as “current price base”) under Article 4 of the Local Tax Act: Provided, That where no current price base is set or where the obligor so wishes, the price appraised by an appraisal business entity (referring to an appraisal business entity defined in subparagraph 4 of Article 2 of the Act on Public Act on Appraisal and Certified Appraisers) designated by the Minister of Land, Infrastructure and Transport shall apply.
(2) Development costs under paragraph (1) shall be calculated as classified below: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
1. Development costs under Article 11 (1) of the Act shall be the aggregate of expenses referred to in subparagraphs of paragraph (1) expended by the obligor in connection with the execution of the relevant project, which are substantiated by the calculation statement and evidential documents: Provided, That general management expenses referred to in paragraph (1) 4 shall be calculated by applying the criteria for determination of projected price and rate pursuant to Article 9 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party and Article 10 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party;
2. Where development costs are calculated pursuant to Article 11 (2) of the Act, the total of the following amounts:
(a) The costs referred to in paragraph (1) 1 through 4 shall be calculated by multiplying the area of land subject to imposition by the standard expenses per unit area publicly notified by the Minister of Land, Infrastructure and Transport, which are substantiated by the calculation statement;
(b) The aggregate of expenses referred to in paragraph (1) 5 through 9, which are substantiated by the calculation statement and evidential documents.
(3) In cases falling under paragraph (2), where the amount of development costs referred to in paragraph (1) 1 through 3 exceeds the amount calculated in accordance with the following standards, no amount of excess shall be deemed the development costs referred to in Article 11 (1) of the Act: <Amended by Presidential Decree No. 22626, Jan. 17, 2011; Presidential Decree No. 25452, Jul. 14, 2014>
1. Material costs, labor costs, and expenses shall be calculated using the method for calculating material costs, labor costs, and expenses for calculating the cost of construction works among the criteria for determination of projected price pursuant to Article 9 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party and Article 10 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party, which are subject to the standard of estimate fixed by the Government and the unit prices (where Government-fixed prices exist, referring to the amount thereof);
2. Survey costs and design costs shall be calculated in accordance with the standards for prices of engineering projects pursuant to Article 31 of the Engineering Industry Promotion Act.
(4) Where the amount of development costs proposed by an obligor exceeds the amount referred to in paragraph (3) and falls under any of the following subparagraphs, such amount may be recognized as the development costs referred to in Article 11 of the Act, notwithstanding paragraph (3): <Amended by Presidential Decree No. 22626, Jan. 17, 2011; Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25358, May 22, 2014; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27472, Aug. 31, 2016; Presidential Decree No. 27621, Nov. 29, 2016>
1. Development costs expended by a local government or an institution subject to reduction or exemption under the Local Finance Act, the Local Accounting Act, or the Act on the Management of Public Institutions;
2. Where the Minister of Land, Infrastructure and Transport has verified, by commissioning any of the following companies or institutions meeting the requirements prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport (hereinafter referred to as "agency for calculation of development costs"), that the amount proposed by the obligor meets the standards referred to in subparagraphs of paragraph (3), the relevant development costs:
(a) A construction technology service provider registered under Article 26 of the Construction Technology Promotion Act;
(b) A professional engineering office registered under Article 6 of the Professional Engineers Act;
(d) An engineering business entity who has filed a report under Article 21 of the Engineering Industry Promotion Act;
(e) An agency providing cost accounting services under the statutes on contracts to which the State is a party;
3. Development costs calculated on the basis of the expenses expended for activities clearly incurring expenditure, such as a contract concluded with a constructor registered under the Framework Act on the Construction Industry or an engineering project contract entered into with an engineering business entity who has filed a report under Article 21 of the Engineering Industry Promotion Act;
4. Where development costs are deemed to meet the calculation standard of each itemization of the development costs referred to in paragraph (3), which is prescribed by the Minister of Land, Infrastructure and Transport.
(5) When it is impracticable for the Minister of Land, Infrastructure and Transport to ascertain whether the amount proposed by the obligor pursuant to paragraph (2) is true and to calculate the amount pursuant to paragraph (3) due to the unique characteristics of the contents and nature of the relevant development project, he/she may outsource such ascertainment or calculation of amount to an agency for calculation of development costs. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(6) "Size prescribed by Presidential Decree" in Article 11 (2) of the Act means 2,700 square meters. <Newly Inserted by Presidential Decree No. 23291, Nov. 11, 2011>
 Article 13 (Recognition of Amount of Transfer Income Tax, etc. as Development Costs)
The scope of amount of transfer gains tax or corporate tax to be included in development costs pursuant to Article 12 of the Act shall be the amount of tax equivalent to that accrued from the starting point of imposition until the point of transfer, out of the said amount of tax, if the land is transferred at or before the end point of imposition, and from the starting point of imposition until the end point of imposition if the land is transferred at or after the end point of imposition. In such cases, the amount of tax to be included in development costs shall be calculated by equally dividing transfer income tax or corporate tax by daily units. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
 Article 14 (Calculation of Amount to Be Imposed)
(1) In calculating charges pursuant to Articles 8 through 13 of the Act, if the end point of imposition falls during a month, it shall be calculated by applying the fluctuation rate of normal land prices during the previous month of the month in which the end point of imposition falls. In such cases, when the fluctuation rate of normal land prices during the month in which the end point of imposition falls is announced, the difference shall be calculated and settled without delay.
(2) In cases of a development project requiring change of land category under subparagraph 7 of attached Table 1, only the area, the land category of which is changed virtually or on a public register after the completion of the relevant project, shall be deemed to have generated development gains. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(3) In calculating charges for a development project pursuant to paragraph (2), the development costs shall be the costs expended for the part where the land category is changed, out of the total expenditure; and if the costs expended for the part where the land category is changed is unable to be distinguished clearly, the charges shall be calculated according to the ratio of area.
 Article 15 (Preliminary Notification of Standard for Imposition and Amount Imposed)
(1) In order to impose charges under Article 14 of the Act, the Minister of Land, Infrastructure and Transport shall notify the standards for and the amount to be imposed on the person obligated to pay it. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(2) Notification under paragraph (1) shall be made within 60 days from the date the statement on costs is submitted. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(3) Where the Minister of Land, Infrastructure and Transport intends to impose charges on a project falling under the proviso to Article 14 (1) of the Act, he/she may calculate and impose the charges by land that falls under any subparagraph of Article 9 (3) of the Act after completion of the whole development project. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 16 (Examination Prior to Notice)
(1) An obligor who has any objection against the standards for imposition and imposed amount notified under Article 15 may request the Minister of Land, Infrastructure and Transport to conduct an examination (hereinafter referred to as "examination prior to notice") within 30 days from the date preliminary notice is received. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(2) An obligor who has received preliminary notice and intends to request an examination prior to notice shall submit a written request for examination prior to notice stating the following matters, to the Minister of Land, Infrastructure and Transport. In such cases, any evidential documents, etc. related thereto, if any, shall be appended to the written request for examination prior to notice: <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
1. The applicant's name (in cases of a corporation, the corporation’s name and the representative's name), and address or place of residence;
2. Details of land subject to imposition of charges;
3. Standards for imposition and amount imposed preliminarily notified;
4. Reasons for requesting an examination prior to notice.
(3) The Minister of Land, Infrastructure and Transport in receipt of a request for examination prior to notice pursuant to paragraph (1) shall examine the case and inform the result thereof to the applicant within 15 days from the date the request is received. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(4) The result of an examination prior to notification shall be given written notice of decision on the examination prior to notice stating the following matters: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
1. The applicant's name (in cases of a corporation, the corporation’s name and the representative's name), and address or place of residence;
2. Details of land subject to imposition of charges;
3. Standards for imposition and amount imposed;
4. Result of the examination.
 Article 17 (Deadline to Impose Charges)
The date the imposition of charges may be notified under Article 15 (3) of the Act shall be as follows: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
1. Where charges are to be imposed under Article 15 (3), the date five months after the completion date of the whole development project;
2. Where charges are to be collected additionally under Article 21, the date five months after the date the grounds for additional collection has occurred;
3. In cases not falling under subparagraph 1 or 2, the date five months after the end point of imposition.
 Article 18 (Determination of Charges)
Where no objection is raised against preliminary notice given under Article 15 or where the result of the examination is notified under Article 16 in response to a request for examination prior to notice, the Minister of Land, Infrastructure and Transport shall determine the charges in the amount notified. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 19 (Notices for Payment)
In issuing a notice for payment to an obligor pursuant to Article 15 of the Act, the Minister of Land, Infrastructure and Transport shall specify the following matters: <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
1. Name of the development project subject to imposition;
2. Obligor;
3. Standards for imposition and basis for calculation;
4. Amount to be paid and deadline for payment;
5. Methods of payment.
 Article 20 (Correction, etc. of Charges)
(1) Where the Minister of Land, Infrastructure and Transport discovers any omission or mistake in the details of determination after determining charges pursuant to Article 18, he/she shall immediately examine and correct the charges. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(2) Where an obligor fails, without any special reason, to donate any land, public facilities, etc. which he/she has promised to donate to the State or a local government pursuant to Article 12 (1) 5, by the payment deadline prescribed in Article 18 of the Act, the charges equivalent to the amount included in the development costs in connection with such land, public facilities, etc. shall be collected within one month from the date the payment deadline lapses. In such cases, the deadline for payment of charges shall be 30 days from the date the imposition of charges is notified. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(3) Where any charges are corrected under paragraph (1) or where any amount is erroneously or over-paid among the charges already paid as a result of an administrative appeal, etc. referred to in Article 26 of the Act, they shall be refunded by adding an amount calculated at the interest rate prescribed in Article 43-3 (2) of the Enforcement Decree of the Framework Act on National Taxes for the period from the payment date of charges to the date the decision for refund is made. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
 Article 21 (Collection of Additional Charges)
(1) "Compelling reasons" in Article 16 (1) of the Act means any of the following reasons:
1. Where any significant damage is caused to the relevant property by a natural disaster or any other similar cause;
2. Where it is impracticable to continue the development project due to bankruptcy, etc. of the enterprise, etc.
(2) "Period prescribed by Presidential Decree" in Article 16 (1) of the Act means within five years from the end point of imposition.
(3) "Reason prescribed by Presidential Decree" in Article 16 (1) of the Act means any of the following reasons:
1. Where it is intended to use the land for any purpose other than the original purpose of the development project;
2. Where the land is transferred to a person who intends to use the land for any purpose other than the original purpose of the development project.
(4) If the Minister of Land, Infrastructure and Transport intends to additionally collect, under Article 16 (1) of the Act, the charges reduced under Article 17 (2) of the Act, he/she shall give notice for payment on the reduced charges to the obligor within 15 days from the date a reason referred to in paragraph (3) has occurred. In such cases, the deadline for payment of additional charges shall be 30 days from the date of notice. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(5) In order to collect, under Article 16 (1) of the Act, the charges exempted under Article 7 (3) of the Act, the Minister of Land, Infrastructure and Transport shall notify the obligor of collection, and the obligor shall submit a statement necessary for calculation of development costs pursuant to Article 11 of the Act to the Minister of Land, Infrastructure and Transport within 30 days from the date notice is received. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(6) Article 18 of the Act and Articles 15, 16, 18, and 19 of this Decree shall apply mutatis mutandis where charges are collected under paragraph (5).
 Article 22 (Payment in Kind)
(1) Each person who intends to apply for payment in kind under Article 18 (2) of the Act shall submit to the Minister of Land, Infrastructure and Transport an application for payment in kind stating the amount of charges, and the address, area, location, price, etc. of the property subject to payment in kind. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 27355, Jul. 19, 2016>
(2) Within 30 days from the date an application for payment in kind is received under paragraph (1), the Minister of Land, Infrastructure and Transport shall determine whether to accept such payment and notify the applicant thereof in writing, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(3) The obligor shall pay in cash, the difference between the amount imposed and the value of the property subject to payment in kind. <Amended by Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27355, Jul. 19, 2016>
(4) The value of the property subject to payment in kind shall be calculated based on the following categories: <Amended by Presidential Decree No. 27355, Jul. 19, 2016>
1. Land: An aggregation of the publicly notified individual land price as of the end date of imposition (the land price as of the end date, where the land subject to payment in kind falls under the land subject to imposition), and the increase in the normal land price from the end date of imposition to the date of a written notice under paragraph (2);
2. Building (including land, where the property subject to payment in kind includes a house built on it): The current price base as of the end date of imposition.
(5) Notwithstanding paragraph (4), where there is no publicly notified individual price or current price base, the value of the property subject to payment in kind shall be an amount appraised by an appraisal business entity (referring to an appraisal business entity under subparagraph 4 of Article 2 of the Act on Appraisal and Certified Appraisers) designated by the Minister of Land, Infrastructure and Transport. <Newly Inserted by Presidential Decree No. 27355, Jul. 19, 2016; Presidential Decree No. 27472, Aug. 31, 2016>
 Article 22-2 (Partial Refund of Charges)
(1) The method for calculating the amount of partial refund of charges under Article 18-2 (1) of the Act (hereinafter referred to as “amount of refund") shall be as specified in attached Table 4: Provided, That where the amount of refund calculated is less than 100 thousand won, it shall be written off.
(2) Matters necessary for the methods of refund, etc. of amounts calculated under paragraph (1) (referring to the total of the amount to revert to the special accounts on regional development under the Special Act on Balanced National Development (hereinafter referred to as "special accounts") and the amount to revert to the relevant local government) shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
[This Article Newly Inserted by Presidential Decree No. 25452, Jul. 14, 2014]
 Article 23 (Collection before Payment Deadline)
Where the Minister of Land, Infrastructure and Transport intends to collect charges before the payment deadline pursuant to Article 19 (2) of the Act, he/she shall set the payment deadline on a date not earlier than five days from the date of notice for payment of charges, and the notice for payment shall specify the purport for collecting them before the payment deadline and the fact that the payment deadline is modified. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 24 (Postponement of Payment and Payment in Installments)
(1) Each person who intends to extend a payment deadline or apply for payment in installments under Article 20 of the Act shall submit to the Minister of Land, Infrastructure and Transport an application for extension of the payment deadline or for payment in installment stating the reasons for the extension of payment deadline or the payment in installments. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(2) The Minister of Land, Infrastructure and Transport shall notify in writing the applicant of whether to grant the extension of payment deadline or the payment in installment, within 30 days from the date the application therefor is received under paragraph (1). <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
(3) "Cases prescribed by Presidential Decree" in Article 20 (1) 5 of the Act means where the charges imposed exceeds ten million won and the obligor provides any security referred to in Article 31 of the Framework Act on National Taxes: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
1. through 3. Deleted. <by Presidential Decree No. 25452, Jul. 14, 2014>
(4) "Amount prescribed by Presidential Decree" in Article 20 (3) of the Act means the amount calculated using the following formula: <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
Charges x Interest rate determined and publicly notified each year by the Minister of Land, Infrastructure and Transport, taking into account the average applicable interest on term deposits of commercial banks with the maturity of one year x Extended period for payment or the period for which the payment is postponed due to payment in installments
 Article 25 (Disposition on Deficits)
In order to take a disposition on deficits under Article 23 (1) 4 of the Act, the Minister of Land, Infrastructure and Transport shall investigate and confirm the whereabouts of the defaulter or existence of his/her property through making inquiries into the relevant administrative agencies, such as the competent tax office: Provided, That this shall not apply if the amount of charges in arrears is less than 100 thousand won. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 25-2 (Calculation Statements of Development Costs)
(1) Each person who intends to submit statements necessary for the calculation of development costs pursuant to Article 24 of the Act, shall submit such statements to the Minister of Land, Infrastructure and Transport as prescribed in the following subparagraphs: <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
1. Where authorization for completion, etc. of the development project is obtained from the State or a local government, such statements shall be submitted within 40 days from the end point of imposition;
2. Where the land subject to imposition falls under the proviso to Article 9 (3) of the Act and it is impracticable to calculate development costs by development project completed, such statements shall be submitted within 40 days from the date the whole project is completed. In this regard, in cases of land the points of imposition of which are different from each other, such statements shall be separately prepared.
(2) The calculation statements of development costs under paragraph (1) shall be appended by evidential documents for calculation of development costs, such as design documents: Provided, That where the standard expenses per unit area publicly notified by the Minister of Land, Infrastructure and Transport are applied pursuant to Article 11 (2) of the Act, no evidential documents for calculation of development costs referred to in Article 12 (1) 1 through 4 shall be appended. <Amended by Presidential Decree No. 23291, Nov. 11, 2011; Presidential Decree No. 24443, Mar. 23, 2013>
[This Article Newly Inserted by Presidential Decree No. 21558, Jun. 25, 2009]
 Article 26 (Investigation of Development Projects)
Where the relevant administrative agency gives no notice pursuant to Article 25 (1) of the Act, the Minister of Land, Infrastructure and Transport shall, in order to prevent omission of development projects subject to imposition of charges, take necessary measures, such as conducting on-site investigations or making inquiries into the relevant administrative agencies, for the development projects being executed under each local government. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 27 (Notification of Projects Subject to Imposition)
Upon receipt of a notification from the relevant administrative agency pursuant to Article 25 (1) of the Act, the Minister of Land, Infrastructure and Transport shall give prior notice to the obligor referred to in Article 6 of the Act of the matters prescribed by the Ordinance of the Ministry of Land, Infrastructure and Transport. <Amended by Presidential Decree No. 24443, Mar. 23, 2013>
 Article 28 (Delegation of Authority, etc.)
(1) The Minister of Land, Infrastructure and Transport shall delegate the following authority to a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu: <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27355, Jul. 19, 2016>
1. Calculation of land prices under Article 10 of the Act;
1-2. Request for provision of taxation information under Article 81-13 of the Framework Act on National Taxes, including the amount of transfer income tax or corporate tax under Article 12 (3) of the Act;
2. Determination and imposition of charges under Article 14 of the Act (including matters concerning preliminary notice, examination prior to notice, correction of charges, etc. under Articles 15, 16, and 20 of this Decree);
3. Issuance of notices for payment under Article 15 of the Act;
4. Collection of additional charges under Article 16 of the Act;
5. Acceptance and collection of payment in kind under Article 18 (2) of the Act;
5-2. Partial refund of charges under Article 18-2 of the Act;
6. Collection and notification before payment deadline under Article 19 of the Act;
7. Extension of payment deadlines or acceptance and collection of payment in installments under Article 20 of the Act;
8. Demands for payment under Article 21 of the Act;
9. Disposition on default under Article 22 of the Act;
10. Disposition on deficits under Article 23 of the Act;
11. Receipt of data submitted under Article 24 of the Act;
12. Notification and receipt of data under Article 25 of the Act;
13. Imposition and collection of administrative fines under Article 29 of the Act;
14. Receipt of reports on completion of development projects under Article 9 (3) 1 and the on-site verification and notifications under Article 9 (3) 2;
15. Designation of appraisal business entities referred to in Articles 12 (1) 9 (b) and 22 (5);
16. Calculation of development costs under Article 12 (3) and outsourcing the ascertainment of development costs or the calculation of such amounts under Article 12 (5);
17. Measures referred to in Article 26, such as inquiry about the facts;
18. Notification of projects subject to imposition under Article 27.
(2) A Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu shall deposit without delay the amount to revert to the special accounts out of the charges collected under paragraph (1) in the Bank of Korea under the Bank of Korea Act (including National Treasury collecting agencies; hereinafter the same shall apply) or in a communications agency, and the head of a Si/Gun/Gu shall deposit without delay the amount to revert to the Special Metropolitan City, a Metropolitan City, or a Do in the depositories of the Special Metropolitan City, Metropolitan City, or Do designated under Article 38 of the Local Accounting Act. <Amended by Presidential Decree No. 21515, May 29, 2009; Presidential Decree No. 25249, Mar. 11, 2014; Presidential Decree No. 25452, Jul. 14, 2014; Presidential Decree No. 27621, Nov. 29, 2016>
(3) Upon receipt of any payment in kind under paragraph (1), a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu shall take measures without delay to transfer the registration of land to revert to the State property that belongs to special accounts and to take other necessary measures. <Amended by Presidential Decree No. 25452, Jul. 14, 2014>
(4) A Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu shall prepare and submit to the Minister of Land, Infrastructure and Transport, actual records of imposition, collection, payment, and payment in kind, of charges collected each quarter pursuant to paragraph (1) by the 10th day of the first month of the following quarter. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
(5) Based on actual records of imposition, collection, payment, and payment in kind, of charges submitted pursuant to paragraph (4), the Minister of Land, Infrastructure and Transport shall pay 7/100 of the amount paid (referring to the amount deposited by a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu in the Bank of Korea or a communications agency, and the price of land provided as payment in kind, excluding the amount settled under Article 3 (3)) to a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu as commission. In such cases, commission shall be paid quarterly in the month following the end of a quarter. <Amended by Presidential Decree No. 24443, Mar. 23, 2013; Presidential Decree No. 25452, Jul. 14, 2014>
 Article 28-2 (Re-Examination of Regulations)
The Minister of Land, Infrastructure and Transport shall examine the appropriateness of the reasons and procedure, etc. for the collection of additional charges under Article 21, every three years counting from the base date of January 1, 2017 (referring to the prior that ends on the day before January 1 of every third year) and take measures such as making improvement: <Amended by Presidential Decree No. 27751, Dec. 30, 2016>
1. and 2. Deleted; <by Presidential Decree No. 27745, Dec. 30, 2016>
[This Article Newly Inserted by Presidential Decree No. 25050, Dec. 30, 2013]
 Article 29 (Criteria for Imposition of Administrative Fines)
The criteria for imposition of administrative fines under Article 29 of the Act shall be as follows:
1. Where an obligor fails to submit a calculation statement of development costs pursuant to Article 24 of the Act, within the deadline prescribed in Article 25-2: One million won;
2. Where an obligor fails to submit a calculation statement of development costs pursuant to Article 24 of the Act, within three months from the end point of imposition, or submits a false statement: Two million won.
[This Article Newly Inserted by Presidential Decree No. 21558, Jun. 25, 2009]
ADDENDA
Article 1 (Enforcement Date)
This Decree shall enter into force on June 29, 2008: Provided, That the amended provisions of subparagraph 7 of attached Table 2 shall enter into force on September 22, 2008.
Article 2 (Transitional Measures concerning Enforcement Date)
Until the amended provisions of subparagraph 7 of attached Table 2 enter into force in accordance with the proviso to Article 1 of the Addenda, the said subparagraph shall be deemed prescribed as follows:
Article 3 (Applicability to Imposition, Reduction, Exemption, etc. of Development Charges)
(1) The amended provisions of attached Table 1 shall apply beginning from the first project for which authorization, etc. is granted after this Decree enters into force.
(2) The amended provisions of Articles 4 (4) and 6 shall apply beginning from the first project on which development charges are determined and imposed after this Decree enters into force.
Article 4 (Applicability to Calculation of Area of Land Subject to Imposition of Development Charges Following Exemption from Collection thereof)
No area of land to be developed under a development project for which authorization, etc. is obtained during the period when development charges are not collected pursuant to Article 4 of Addenda to the Act, shall be included in the area of land subject to the imposition of development charges even after the increase of the area of the land subject to execution of the project due to the modification of authorization, etc. after the same period, or be included in the area of contiguous parcels of land, deeming that a single development project is executed over the whole area of such land pursuant to the amended provisions of Article 4 (1).
ADDENDA <Presidential Decree No. 21445, Apr. 21, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 21515, May 29, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 21558, Jun. 25, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 1, 2009.
Article 2 (Applicability)
The amended provisions of Articles 6 (1), 6-2, 6-3, and attached Table 1 shall apply beginning from the first development project on which development charges are determined and imposed after this Decree enters into force.
ADDENDA <Presidential Decree No. 21565, Jun. 26, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on June 30, 2009: Provided, That --- <omitted> --- Article 3 of the Addenda shall enter into force on the date of its promulgation.
Articles 2 through 4 Omitted.
ADDENDA <Presidential Decree No. 21656, Jul. 30, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 31, 2009.
Article 2 Omitted.
ADDENDA <Presidential Decree No. 21744, Sep. 21, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on October 1, 2009.
Articles 2 through 5 Omitted.
ADDENDA <Presidential Decree No. 21835, Nov. 20, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 22, 2009.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 21881, Dec. 14, 2009>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDA <Presidential Decree No. 22395, Sep. 20, 2010>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2011.
Articles 2 through 9 Omitted.
ADDENDA <Presidential Decree No. 22626, Jan. 17, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 through 6 Omitted.
ADDENDA <Presidential Decree No. 23073, Aug. 11, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on August 19, 2011.
Article 2 Omitted.
ADDENDA <Presidential Decree No. 23291, Nov. 11, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 20, 2011.
Article 2 (Applicability to Exemption of Attachment of Evidential Documents for Calculation of Development Costs)
The amended provisions of Article 25-2 shall apply beginning from the first project on which development charges are determined and imposed after this Decree enters into force.
ADDENDA <Presidential Decree No. 24443, Mar. 23, 2013>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 6 Omitted.
ADDENDA <Presidential Decree No. 24638, Jun. 28, 2013>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 1, 2013. (Proviso Omitted.)
Articles 2 through 17 Omitted.
ADDENDUM <Presidential Decree No. 25050, Dec. 30, 2013>
This Decree shall enter into force on January 1, 2014. (Proviso Omitted.)
ADDENDA <Presidential Decree No. 25249, Mar. 11, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation: Provided, That --- <omitted> --- Article 4 (1), (2), (5), (9), and (11) of the Addenda shall enter into force on January 1, 2015.
Articles 2 through 4 Omitted.
ADDENDA <Presidential Decree No. 25279, Mar. 24, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 25339, Apr. 29, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 25358, May 22, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on May 23, 2014.
Articles 2 through 13 Omitted.
ADDENDA <Presidential Decree No. 25452, Jul. 14, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 15, 2014: Provided, That the amended provisions of Articles 22-2, 28 (2) (limited to the provisions concerning special accounts), and attached Table 4 shall enter into force on January 1, 2015.
Article 2 (Applicability to Expansion of Objects of Reduction or Exemption of Charges)
The amended provisions of Article 6 (2) shall apply where authorization, etc. for development projects is obtained after this Decree enters into force.
Article 3 (Applicability to Period for Requesting Examination prior to Notice)
The amended provisions of Article 16 (1) shall also apply to persons in whose case 15 days have passed since the date preliminary notice is received but not after 30 days, as at the time this Decree enters into force.
Article 4 (Applicability to Submission of Calculation Statement of Development Costs when Collecting Additional Charges)
The amended provisions of Article 21 (5) shall also apply to persons in whose case 25 days have passed since the date notice of additional collection is received but not after 30 days, as at the time this Decree enters into force.
Article 5 (Transitional Measures concerning Development Projects Subject to Exemption from Imposition of Charges)
Notwithstanding the amended provisions of Article 6 (1), development projects for which authorization, etc. is obtained before this Decree enters into force shall be governed by the former provisions.
Article 6 (Transitional Measures concerning Scope of Development Projects Subject to Imposition of Charges)
Notwithstanding the amended provisions of attached Table 1, development projects for which authorization, etc. is obtained before this Decree enters into force shall be governed by the former provisions.
Article 7 (Transitional Measures concerning Starting Point of Imposition of Charges and End Point of Imposition)
Notwithstanding the amended provisions of attached Table 3, development projects for which authorization, etc. is obtained before this Decree enters into force shall be governed by the former provisions.
ADDENDA <Presidential Decree No. 25456, Jul. 14, 2014>
Article 1 (Enforcement Date)
This Decree shall enter into force on July 15, 2014.
Articles 2 through 6 Omitted.
ADDENDA <Presidential Decree No. 26108, Feb. 23, 2015>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 Omitted.
ADDENDA <Presidential Decree No. 26302, Jun. 1, 2015>
Article 1 (Enforcement Date)
This Decree shall enter into force on June 4, 2015.
Articles 2 and 3 Omitted.
ADDENDUM <Presidential Decree No. 27355, Jul. 19, 2016>
This Decree shall enter into force on July 20, 2016.
ADDENDA <Presidential Decree No. 27444, Aug. 11, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on August 12, 2016.
Articles 2 through 8 Omitted.
ADDENDA <Presidential Decree No. 27472, Aug. 31, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on September 1, 2016.
Articles 2 through 7 Omitted.
ADDENDA <Presidential Decree No. 27621, Nov. 29, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 30, 2016.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 27745, Dec. 30, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Imposition of Development Charges on Privately Constructed Rental Housing)
The construction project of private rental housing which is converted into housing for sale or transferred to a person who is not a rental business entity in accordance with the Rental Housing Act or the Special Act on Private Rental Housing before this Decree enters into force, shall be governed by the previous provisions, notwithstanding the amended provisions of subparagraph 1 of attached Table 1.
ADDENDA <Presidential Decree No. 27751, Dec. 30, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on January 1, 2017. (Proviso Omitted.)
Articles 2 through 12 Omitted.
ADDENDA <Presidential Decree No. 27830, Feb. 3, 2017>
Article 1 (Enforcement Date)
This Decree shall enter into force on February 4, 2017.
Articles 2 and 3 Omitted.
ADDENDA <Presidential Decree No. 28628, Feb. 9, 2018>
Article 1 (Enforcement Date)
This Decree shall enter into force on February 9, 2018.
Articles 2 through 17 Omitted.