CERTIFIED TAX ACCOUNTANT ACT
Act No. 712, Sep. 9, 1961
Amended by Act No. 2358, Dec. 8, 1972
Act No. 3105, Dec. 5, 1978
Act No. 3441, Apr. 13, 1981
Act No. 4166, Dec. 30, 1989
Act No. 4983, Dec. 6, 1995
Act No. 5815, Feb. 5, 1999
Act No. 6080, Dec. 31, 1999
Act No. 6837, Dec. 30, 2002
Act No. 7032, Dec. 31, 2003
Act No. 7335, Jan. 14, 2005
Act No. 7428, Mar. 31, 2005
Act No. 7796, Dec. 29, 2005
Act No. 7878, Mar. 24, 2006
Act No. 8852, Feb. 29, 2008
Act No. 9045, Mar. 28, 2008
Act No. 9348, Jan. 30, 2009
Act No. 10624, May 2, 2011
Act No. 10805, jun. 30, 2011
Act No. 10899, Jul. 25, 2011
Act No. 11209, Jan. 26, 2012
Act No. 11610, Jan. 1, 2013
Act No. 13624, Dec. 29, 2015
Act No. 13796, Jan. 19, 2016
Act No. 14045, Mar. 2, 2016
Act No. 15222, Dec. 19, 2017
Act No. 15288, Dec. 26, 2017
Act No. 16103, Dec. 31, 2018
CHAPTER I GENERAL PROVISIONS
The purpose of this Act is to promote the smooth execution of tax administration and the appropriate performance of the duty to pay taxes by establishing the certified tax accountant system.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 1-2 (Mission of Certified Tax Accountants) |
Any certified tax accountant, as a tax specialist of public character, shall be charged with the mission to protect the rights and interests of taxpayers and to contribute to having them conscientiously perform their duty to pay taxes.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 2 (Duties of Certified Tax Accountants) |
Any certified tax accountant shall engage in the following activities or services (hereinafter referred to as "tax agent services") with the authority delegated by taxpayers, etc.: <Amended by Act No. 10624, May 2, 2011; Act No. 13796, Jan. 19, 2016; Act No. 15288, Dec. 26, 2017>
| 1. | Reporting, filing applications or requests (including requests for pre-assessment review, objections, requests for examination and request for trial) with regard to taxes by proxy (including requests for administrative trial by proxy on development charges under the Restitution of Development Gains Act); |
| 2. | Preparing statements of tax adjustment and other tax-related documents; |
| 3. | Preparing books by proxy for filing returns on taxes; |
| 4. | Providing consultations or advices on taxes; |
| 5. | Stating a taxpayer's opinion by proxy related to investigations, dispositions, etc. by a tax office; |
| 7. | Verifying any tax-related return document prepared by the relevant certified tax accountant: Provided, That if a taxpayer has prepared a return document personally, or if it is impossible to verify a return document because a certified tax accountant who prepared the return document has suspended or discontinued his or her business, a certified tax accountant who makes tax adjustment, prepares books by proxy, or provides consulting services may verify the return document for such taxpayer; |
| 9. | Other services incidental to the activities or services referred to in subparagraphs 1 through 8. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 3 (Qualifications for Certified Tax Accountants) |
Any of the following persons shall be qualified as a certified tax accountant:
| 1. | A person who has passed a qualification examination for certified tax accountants referred to in Article 5; |
| 2. | Deleted; <by Act No. 11209, Jan. 26, 2012> |
| 3. | Deleted; <by Act No. 15288, Dec. 26, 2017> |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 3-2 (Certified Tax Accountant Qualification Screening Committee) |
| (1) | A Certified Tax Accountant Qualification Screening Committee may be established within the National Tax Service to deliberate on the following matters with respect to the acquisition of qualifications for certified tax accountants: |
| 1. | Matters concerning examinations, such as the subjects of a qualification examination for certified tax accountants; |
| 2. | Decision on the number of persons to be selected through examination; |
| 3. | Requirements for persons eligible for partial exemption from examination; |
| 4. | Other important matters concerning the acquisition of qualifications for certified tax accountants. |
| (2) | Matters necessary for the organization, operation, etc. of the Certified Tax Accountant Qualification Screening Committee shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 4 (Grounds for Disqualification of Certified Tax Accountants) |
None of the following persons shall be entitled to file for registration under Article 6: <Amended by Act No. 14045, Mar. 2, 2016> | 2. | A person under adult guardianship or a person under limited guardianship; |
| 3. | A person who was declared bankrupt and has not been reinstated; |
| 4. | A person in whose case three years (five years in cases of a person whose registration was cancelled pursuant to subparagraph of Article 7 of this Act, due to violation of Article 12-4 thereof) have not passed since he or she was dismissed or released from office in consequence of impeachment or disciplinary action; |
| 5. | A person in whose case three years have not passed since he or she was expelled or his or her registration was revoked in consequence of disciplinary action taken under this Act, the Certified Public Accountant Act or the Attorney-at-Law Act, and a person who has been suspended and the suspension period is not over; |
| 6. | A person who is in the period for refusal of registration under Article 17 (3); |
| 7. | A person in whose case three years have not passed since his or her imprisonment without labor or heavier punishment, as declared by a court, was completely executed (including where the execution is deemed to have been completed) or exempted; |
| 8. | A person in whose case one year has not passed since the suspended execution of imprisonment without labor or heavier punishment, as declared by a court, was completed; |
| 9. | A person under the suspended sentence of imprisonment without labor or heavier punishment as declared by a court; |
| 10. | A person in whose case three years have not passed since the punishment by a fine imposed on him or her under this Act and the Punishment of Tax Offenses Act was completely executed or determined not to be executed, or a person in whose case three years have not passed since the disposition of notification to him or her under the Procedure for the Punishment of Tax Offenses Act was conducted as notified. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 5 (Qualification examinations for Certified Tax Accountants) |
| (1) | A qualification examination for certified tax accountants shall be comprised of a preliminary test and a secondary test implemented by the Minister of Economy and Finance. |
| (2) | No person falling under any of subparagraphs 2 through 10 of Article 4 as at the date applicants who finally pass a qualification examination for certified tax accountants are announced may apply for the examination. <Amended by Act No. 16103, Dec. 31, 2018> |
| (3) | The subjects of a qualification examination for certified tax accountants referred to in paragraph (1) and other matters necessary for such examination shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 5-2 (Partial Exemption from Examinations) |
| (1) | Any of the following persons shall be exempted from a preliminary test: |
| 1. | A person who has been engaged in the administrative affairs with respect to national taxes (excluding customs; hereinafter the same shall apply) for at least 10 years; |
| 2. | A public official of Grade V or higher who has been engaged in the administrative affairs with respect to local taxes for at least 10 years, or a public official in general service belonging to the Senior Executive Service who has been engaged in such service for at least five years; |
| 3. | A person who has been engaged in the administrative affairs with respect to local taxes for at least 20 years; |
| 4. | A person who has served for at least 10 years in the military as an officer in charge of accounting affairs with the rank of captain or higher. |
| (2) | Any of the following persons shall be exempted from all subjects of a preliminary test and some of the subjects of a secondary test prescribed by Presidential Decree to the extent not exceeding 1/2 of the number of subjects of a secondary test: |
| 1. | A public official of Grade V or higher who has been engaged in the administrative affairs with respect to national taxes for at least 10 years or a public official in general service belonging to the Senior Executive Service who has been engaged in such service for at least five years; |
| 2. | A person who has been engaged in the administrative affairs with respect to national taxes for at least 20 years. |
| (3) | Paragraphs (1) and (2) shall not apply to any of the following persons: <Amended by Act No. 15288, Dec.26, 2017> |
| 1. | A person dismissed or released from office by impeachment or disciplinary action; |
| 2. | A person in whose case two years have not elapsed since he or she was subject to a disposition such as demotion or suspension of business operation. |
| (4) | Any person who has passed a preliminary test shall only be exempted from a preliminary test to be implemented next time. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 5-3 (Sanctions for Wrongdoers) |
The Minister of Economy and Finance shall take a disposition to suspend or nullify an examination that any of the following persons has taken, and place restrictions on his or her eligibility to take an examination for five years from the date on which such disposition has been taken:
| 1. | Any person applying for an examination by improper means; |
| 2. | Any person engaging in cheating behaviors during an examination. |
[This Article Newly Inserted by Act No. 10899, Jul. 25, 2011]
| (1) | Where a person qualified as a certified tax accountant after having passed a qualification examination for certified tax accountants referred to in Article 5 intends to commence the tax agent services, he or she shall register matters prescribed by Presidential Decree including his or her name, name and location of the relevant office, whether he or she has resigned from the position of tax official under subparagraph 17 of Article 2 of the Framework Act on National Taxes (hereinafter referred to as “tax accountant who resigned as public official”) and number of certificate of qualification in the register of certified tax accountants kept in the Ministry of Economy and Finance. <Amended by Act No. 11610, Jan. 1, 2013; Act No. 16103, Dec. 31, 2018> |
| (2) | Registration referred to in paragraph (1) may be renewed as prescribed by Presidential Decree. In such cases, the period of renewal shall be at least three years. |
| (3) | Where a person applying for registration pursuant to paragraph (1) falls under any of the following cases, the Minister of Economy and Finance shall reject such registration: <Amended by Act No. 14045, Mar. 2, 2016> |
| 1. | Where he or she becomes disqualified as referred to in Article 4; |
| 2. | Where he or she fails to undergo in-service education referred to in Article 12-6 (1); |
| 3. | Where he or she serves concurrently as a public official or engages in profit-making business, in violation of Article 16. |
| (4) | Where the Minister of Economy and Finance rejects registration pursuant to paragraph (3), he or she shall notify the applicant of the ground for such rejection within 30 days after receipt of the application for registration. |
| (5) | Where there is a change to any registered matter with regard to a certified tax accountant registered pursuant to paragraph (1), he or she shall report to the Minister of Economy and Finance thereon, as prescribed by Presidential Decree. <Newly Inserted by Act No. 11610, Jan. 1, 2013> |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
[Conconformity to the Constitution, 2015 Hun-Ga 19, Apr. 26, 2018, Article 6 (1) of the Certified Tax Accountant Act (Amended by Act No. 11610, Jan. 1, 2013) is inconsistent with the Constitution. Aforesaid povision shall be applicable until the amendment to be made, not later than December 31, 2019]
| Article 7 (Revocation of Registration) |
Where a certified tax accountant falls under any of the following cases, the Minister of Economy and Finance shall revoke his or her registration: <Amended by Act No. 13624, Dec. 29, 2015>
| 1. | Where he or she is subject to a disposition of disciplinary action pursuant to Article 17 (1) and (2) 1; |
| 2. | Where he or she becomes disqualified as referred to in Article 4; |
| 3. | Where the relevant certified tax accountant requests the revocation of his or her registration; |
| 4. | Where the relevant certified tax accountant discontinues his or her business; |
| 6. | Where he or she is deceased. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 8 (Notification of Registration or Revocation of Registration) |
Where the Minister of Economy and Finance accepts registration pursuant to Article 6 or revokes registration pursuant to Article 7, he or she shall notify such registration or revocation to the Korean Association of Certified Public Tax Accountants, the Korean Institute of Certified Public Accountants, or the Korean Bar Association with which the person qualified as a certified tax accountant is affiliated as a member (hereinafter referred to as the "Association he or she is affiliated with"). <Amended by Act No. 11610, Jan. 1, 2013> [This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
CHAPTER IV RIGHTS AND DUTIES
| Article 9 (Affixing Names and Seals) |
When any person who has obtained registration under Article 6 submits a return, an application, a written request or other documents concerning taxes he or she has prepared to the relevant agency on behalf of a taxpayer, etc., he or she shall affix his or her name and seal on such document. [This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 10 (Investigation Notices) |
If a tax official deems it necessary to conduct an investigation with respect to a return, an application or a written request submitted under Article 9, he or she shall notify the relevant certified tax accountant of the time and place of such investigation. [This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 11 (Strict Observance of Confidentiality) |
No current or former certified tax accountant or his or her current or former clerk shall divulge any confidential information he or she has learned in the course of performing his or her business, except as otherwise expressly prescribed by other statutes and regulations.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 12 (Duty to Maintain Conscientiousness) |
| (1) | Every certified tax accountant shall perform his or her duties with conscientiousness and maintain his or her dignity. |
| (2) | No certified tax accountant shall conceal the truth intentionally or make false statements. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 12-2 (Prohibition of Consultation on Tax Evasion) |
No certified tax accountant or his or her clerk shall be involved in or aid affairs that a taxpayer evades a tax, obtains a tax refund or deduction by fraud or other improper means or consult the same, or do any act similar thereto.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 12-3 (Prohibition of Title Lending) |
No certified tax accountant shall allow another person to provide tax agent services by using his or her name or trade name, or lend his or her certificate of qualification or registration to another person.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 12-4 (Prohibition of Provision of Money and Goods) |
No certified tax accountant shall act as follows:
| 1. | Providing, or promising to offer goods or entertainments to a public official; |
| 2. | Assisting an act referred to in subparagraph (1). |
[This Article Newly Inserted by Act No. 14045, Mar. 2, 2016]
| (1) | A certified tax accountant may employ clerks to assist him or her in appropriately conducting his or her services. |
| (2) | A certified tax accountant shall be responsible for guiding and supervising clerks referred to in paragraph (1) to appropriately conduct his or her services. |
| (3) | Necessary matters concerning the qualification, number, training, etc. of clerks may be prescribed by Ordinance of the Ministry of Economy and Finance. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 12-6 (Education for Certified Tax Accountants) |
| (1) | Where a person qualified as a certified tax accountant intends to begin tax agent services, he or she shall receive practical education for not less than six months before making a registration referred to in Article 6, as prescribed by Ordinance of the Ministry of Economy and Finance: Provided, That where a person partially exempted from examinations pursuant to Article 5-2 (1) or (2) passes qualification examinations for certified tax accountants, he or she shall receive practical education for not less than one month. <Amended by Act No. 11610, Jan. 1, 2013> |
| (2) | A certified tax accountant making a registration pursuant to Article 6 (1) shall receive the refresher training for not less than eight hours every year to reinforce expertise and ethics: Provided, That, this shall not apply to cases falling under any of the causes prescribed by Presidential Decree, such as where it is inappropriate for a certified tax account to receive the refresher training, due to his or her illness, temporary closure of business, or otherwise. <Newly Inserted by Act No. 11610, Jan. 1, 2013> |
| (3) | Necessary matters concerning the subjects, place, timing, and completion methods of the education referred to in paragraphs (1) and (2) shall be prescribed by Ordinance of the Ministry of Economy and Finance. <Amended by Act No. 11610, Jan. 1, 2013> |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 13 (Establishment of Offices) |
| (1) | A certified tax accountant may establish only one office to provide tax agent services. |
| (2) | No certified tax accountant shall establish a separate office only for tax agent services where he or she simultaneously engages in the business of a qualified person prescribed by Presidential Decree, such as a certified public accountant, attorney-at-law, certified judicial scrivener, patent attorney, customs broker, certified public appraiser, certified public labor attorney, licensed real estate agent, certified management consultant, certified technical consultant, certified administrative scrivener or any other person with qualifications similar thereto. |
| (3) | Deleted. <by Act No. 13624, Dec. 29, 2015> |
| Article 13-2 Deleted. <by Act No. 6837, Dec. 30, 2002> |
| Article 14 (Report on Results of Services) |
| (1) | A certified tax accountant (including those belonging to a corporation or organization) shall prepare and keep a statement of results of services provided in the previous year, and submit it, by the end of January every year, to the Korean Association of Certified Public Tax Accountants (or the Korean Institute of Certified Public Accountants in case of a certified public accountant eligible to register as a certified tax accountant under Article 2 (1) of the Addenda to the Certified Tax Accountant Act (No. 7032)). In such cases, a statement of results of services shall be prepared separately, based on features of services such as reporting or filing applications by proxy, request by proxy, or tax investigation by proxy, advising or consulting, or tax adjustment, and shall include details prescribed by Presidential Decree such as contract prices and the number of contracts for services, or whether or not he or she is a tax accountant who resigned as public official. |
| (2) | Matters necessary for preparing and reporting of, or methods and period of storage of a statement of results of service under paragraph (1) shall be prescribed by Presidential Decree. |
[This Article Newly Inserted by Act No. 16103, Dec. 31, 2018]
| Article 14-2 (Prohibition on Advertising Connections) |
No certified tax accountant or his or her clerk shall advertise that he or she may have influence by making reference to personal relations with tax official to win a contract for tax agent services.
[This Article Newly Inserted by Act No. 16103, Dec. 31, 2018]
| Article 15 (Ban on Acquisition by Transfer of Rights in Dispute) |
No certified tax accountant shall acquire any right in a dispute by transfer.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16 (Prohibition of Holding Concurrent Office as Public Official or Engaging in Business for Profit) |
| (1) | No certified tax accountant shall serve concurrently as a public official: Provided, That this shall not apply where he or she falls under any of the following cases: |
| 1. | Where he or she becomes a member of the National Assembly or a member of any local council; |
| 2. | Where he or she becomes a public official who need not work on a full-time basis; |
| 3. | Where he or she conducts affairs entrusted by the State, a local government and other public institution (hereinafter referred to as "public institution"). |
| (2) | No certified tax accountant shall, with the exception of the following, become an employee of any person running business for profit, or an executive officer, executive or employee of a profit-making corporation: |
| 1. | Giving lectures in the educational fields, such as a school and a private educational institute (excluding a full-time lecturer); |
| 2. | Working as a non-standing executive of a profit-making corporation. |
| (3) | Paragraphs (1) and (2) shall not apply to any certified tax accountant whose business is temporarily closed. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-2 (Guarantee of Liability for Damage) |
Where a certified tax accountant (excluding a certified tax accountant affiliated with a tax accounting corporation) inflicts damage by intention or negligence on any mandator while performing his or her duties, he or she shall take necessary measures to guarantee the liability for such damage, such as purchasing an insurance policy, as prescribed by Presidential Decree.
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
CHAPTER IV-2 TAX ACCOUNTING CORPORATION
| Article 16-3 (Establishment) |
| (1) | A certified tax accountant may establish a tax accounting corporation to provide their services in a systematic and professional manner. |
| (2) | The following matters shall be entered in the articles of incorporation of a tax accounting corporation: <Amended by Act No. 14045, Mar. 2, 2016> |
| 3. | Location of its principal office and branch offices; |
| 4. | Names, resident registration numbers (alien registration numbers in case of employees who are foreign-certified tax consultants) and addresses of employees and directors; |
| 5. | The amount of one share in equity investment; |
| 6. | The number of shares held by each employee; |
| 7. | The gross amount of capital; |
| 8. | Matters concerning the coverage of deficits; |
| 9. | Matters concerning general meetings of employees; |
| 10. | Matters concerning the representative director; |
| 11. | Matters concerning its services; |
| 12. | If the period of existence and the reasons for dissolution are prescribed, such period and reasons. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-4 (Registration of Tax Accounting Corporations) |
| (1) | When a tax accounting corporation intends to provide its services, it shall file for the registration with the Minister of Economy and Finance, as prescribed by Presidential Decree. |
| (2) | Any tax accounting corporation that intends to file for the registration pursuant to paragraph (1) shall meet the following requirements: |
| 1. | It shall employ employees, directors, etc., pursuant to Article 16-5; |
| 2. | Its capital shall be at least 200 million won, pursuant to Article 16-6 (1); |
| 3. | The details of application documents for registration shall comply with this Act or an order issued under this Act; |
| 4. | No false entry shall be made in application documents for registration. |
| (3) | Where any person filing for registration fails to meet the requirements referred to in paragraph (2), the Minister of Economy and Finance may reject registration, and where application documents for registration are found to be incomplete, the Minister of Economy and Finance may request the applicant to supplement such documents within a prescribed period. |
| (4) | Matters necessary for procedures for registration of tax accounting corporations, required documents, etc., pursuant to paragraph (1), shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-5 (Employees and Directors) |
| (1) | The employees of tax accounting corporations shall be certified tax accountants (including foreign-certified tax consultants employed at the relevant tax accounting corporation) and their number shall be at least three. <Amended by Act No. 14045, Mar. 2, 2016> |
| (2) | A tax accounting corporation shall have at least three directors. In such cases, none of the following persons shall become a director: <Amended by Act No. 14045, Mar. 2, 2016> |
| 1. | A person not employed by the corporation; |
| 2. | A person who has been ordered to be suspended under Article 17 and the suspension period is not over; |
| 3. | A person who has served as a director (limited to a person who has served as a director when a reason for the revocation of registration or the suspension of business arose) of a tax accounting corporation, the registration of which has been revoked or business of which has been suspended pursuant to Article 16-5 (1), and in whose case three years have not passed after the revocation of registration or whose business has been suspended; |
| 4. | A foreign-certified tax consultant referred to in subparagraph 1 of Article 19-2. |
| (3) | A tax accounting corporation shall have at least five certified tax accountants among directors and employees. |
| (4) | Any certified tax accountant who is not a director among certified tax accountants under paragraph (3) (hereinafter referred to as "affiliated certified tax accountant") shall be a person whose suspension period is over after having been ordered to be suspended pursuant to Article 17. |
| (5) | A tax accounting corporation shall have a representative director, as prescribed by Presidential Decree. |
| (6) | If an employee of a tax accounting corporation falls under any of the following cases, he or she shall duly leave from the tax accounting corporation: |
| 1. | Where his or her registration is revoked pursuant to Article 7; |
| 2. | Where any reason prescribed by the articles of incorporation arises; |
| 3. | Where a general meeting of employees passes a resolution. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| (1) | The capital of each tax accounting corporation shall be at least 200 million won. |
| (2) | If the amount remaining after subtracting the total amount of liabilities from the gross amount of assets on the balance sheet at the end of the preceding business year falls short of the capital referred to in paragraph (1), the relevant tax accounting corporation shall supplement the shortage with donations made by employees or increase its capital within six months after the end of each business year. |
| (3) | In cases of donations made by employees under paragraph (2), such donations shall be included in special profits. |
| (4) | Where a tax accounting corporation fails to supplement a shortage or increase its capital as prescribed in paragraph (2), the Minister of Economy and Finance may order the relevant tax accounting corporation to supplement such shortage or increase its capital within a prescribed period. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-7 (Compensation Reserve) |
| (1) | Each tax accounting corporation shall either accumulate the compensation reserve or purchase damage liability insurance in each business year, as prescribed by Presidential Decree, in order to guarantee the liability for damage it may inflict on any mandator while providing its services. |
| (2) | None of the compensation reserve or damage liability insurance referred to in paragraph (1) shall be used for the purposes other than the compensation for damage, and a contract for damage liability insurance shall not be cancelled or terminated without approval from the Minister of Economy and Finance. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-8 (Restrictions on Making Equity Investments in other Corporations) |
| (1) | Every tax accounting corporation shall be prohibited from making equity investments in other corporations or from providing debt guarantees for a third person in excess of the amount calculated by multiplying the rate prescribed by Presidential Decree by its equity capital. |
| (2) | The equity capital referred to in paragraph (1) means the amount calculated by subtracting the total amount of liabilities (excluding the compensation reserve) from the gross amount of assets on the balance sheet at the end of the preceding business year. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| (1) | Every tax accounting corporation shall use a name that includes a tax accounting corporation. |
| (2) | No entity, other than a tax accounting corporation registered pursuant to Article 16-4 (1), shall use a name that includes a tax accounting corporation or any name similar thereto. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| (1) | Every tax accounting corporation may establish branch offices, along with its principal office, as prescribed by Presidential Decree. |
| (2) | No directors and certified tax accountants affiliated with a tax accounting corporation shall have a separate office other than a tax accounting corporation they are affiliated with. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-11 (Methods of Providing Services) |
| (1) | A tax accounting corporation shall provide services in the name of the corporation and, when it provides services, it shall designate a certified tax accountant in charge of such services: Provided, That where it designates an affiliated certified tax accountant, it shall designate a director jointly with the affiliated certified tax accountant. |
| (2) | When a director or an affiliated certified tax accountant designated pursuant to paragraph (1) provides services designated, he or she shall represent the tax accounting corporation he or she is affiliated with, respectively. |
| (3) | Documents prepared by a tax accounting corporation in connection with its services shall be marked with the name of the corporation and a certified tax accountant in charge of such services shall affix his or her name and seal thereon. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-12 (Prohibition from Providing Competitive Services) |
| (1) | No director or certified tax accountant affiliated with a tax accounting corporation shall provide services belonging to the scope of services provided by the tax accounting corporation for the sake of himself, herself or any third person, or become a director or certified tax accountant affiliated with another tax accounting corporation. |
| (2) | No former director or certified tax accountant affiliated with a tax accounting corporation shall, after his or her resignation, provide services as a certified tax accountant with regard to the services that the tax accounting corporation has provided or accepted to provide during the period he or she was affiliated therewith: Provided, That this shall not apply where the tax accounting corporation agrees to the provisions of such service by him or her. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-13 (Dissolution) |
| (1) | A tax accounting corporation shall be dissolved for any of the following reasons: |
| 1. | Any reason prescribed by the articles of incorporation; |
| 2. | A resolution at a general meeting of employees; |
| 4. | Revocation of registration; |
| 6. | Orders or adjudications issued by the court. |
| (2) | Where any reason for dissolution provided for in the provisions of paragraph (1) (excluding the revocation of registration referred to in subparagraph 4) arises, a tax accounting corporation shall notify the Minister of Economy and Finance of the fact. |
| (3) | Where a tax accounting corporation is dissolved for any reason specified in the provisions of paragraph (1) (excluding a merger referred to in subparagraph 3), it shall separately deposit money equivalent to the amount of the compensation reserve (referring to the amount on the balance sheet at the end of the business year immediately prior to the dissolution) accumulated in accordance with Article 16-7 (1) at the Korean Association of Certified Public Tax Accountants established pursuant to Article 18. <Amended by Act No. 11610, Jan. 1, 2013> |
| (4) | Matters necessary for the management and operation of the money deposited under paragraph (3) shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-14 (Reporting on Amendments of Articles of Incorporation) |
When a tax accounting corporation amends any of the following matters among the matters entered in the articles of incorporation pursuant to Article 16-3 (2), it shall report thereon immediately to the Minister of Economy and Finance: <Amended by Act No. 14045, Mar. 2, 2016> | 3. | Location of its principal office and branch offices; |
| 4. | Names and resident registration numbers (alien registration numbers in case of employees who are foreign-certified tax consultants) of employees and directors; |
| 5. | The gross amount of capital (limited to decrease of capital); |
| 6. | Matters concerning the representative director; |
| 7. | Matters concerning the services. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-15 (Revocation of Registration) |
| (1) | Where a tax accounting corporation falls under any of the following cases, the Minister of Economy and Finance may revoke its registration, or issue an order to wholly or partially suspend tax agent services for up to one year: Provided, That where it falls under subparagraphs 1 through 3, he or she shall revoke its registration: <Amended by Act No. 13624, Dec. 29, 2015; Act No. 14045, Mar. 2, 2016> |
| 1. | Where it files for the registration pursuant to Article 16-4 (1) by fraud or other improper means; |
| 2. | Where it which fails to meet the requirements prescribed in Article 16-5 (1) through (3) or 16-6 (1) fails to supplement the same within six months; |
| 3. | Where it conducts business, in violation of an order to suspend his or her business; |
| 4. | Where it fails to comply with an order of the Minister of Economy and Finance to supplement a shortage or increase its capital pursuant to Article 16-6 (4); |
| (2) | The Minister of Economy and Finance shall hold a hearing if he or she intends to revoke registration of any tax accounting corporation in accordance with paragraph (1). |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 16-16 (Application Mutatis Mutandis to Tax Accounting Corporations) |
| (1) | Articles 10 through 12, 12-2 through 12-5, 14-2, 15 and 17 (4) (excluding where a tax accounting corporation falls under Article 16-15 (1) 1) shall apply mutatis mutandis to tax accounting corporations. In such cases, "certified tax accountant" shall be construed as "tax accounting corporation", and "disciplinary action" in Article 17 (4) shall be construed as "revocation of registration and suspension of business." <Amended by Act No. 13624, Dec. 29, 2015; Act No. 14045, Mar. 2, 2016; Act No. 16103, Dec. 31, 2018> |
| (2) | Except as otherwise provided for in this Act, the provisions on limited-liability companies under the Commercial Act shall apply mutatis mutandis to matters concerning tax accounting corporations. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
CHAPTER V DISCIPLINARY ACTION
| Article 17 (Disciplinary Action) |
| (1) | If a certified tax accountant falls under any of the following cases, the Minister of Economy and Finance may issue an order for disciplinary action prescribed in paragraph (2) following a resolution by the Certified Tax Accountant Disciplinary Committee: <Amended by Act No. 11610, Jan. 1, 2013> |
| 1. | Where he or she violates this Act; |
| 2. | Where he or she violates regulations of the Korean Association of Certified Public Tax Accountants. |
| (2) | Types of disciplinary action against a certified tax accountant shall be as follows: |
| 1. | Revocation of registration; |
| 2. | Suspension of business for a period not exceeding two years; |
| 3. | An administrative fine not exceeding 10 million won; |
| (3) | Where the registration of a certified tax accountant requested to be disciplined by the Certified Tax Accountant Disciplinary Committee has been revoked in accordance with subparagraph 3 or 4 of Article 7, the Minister of Economy and Finance may reject registration referred to in Article 6 within a prescribed period not exceeding five years following a resolution by the Certified Tax Accountant Disciplinary Committee. |
| (4) | No disciplinary action prescribed in paragraphs (1) through (3) shall be taken when three years have passed from the date on which a reason for the relevant disciplinary action arises. |
| (5) | If a certified tax accountant fails to pay an administrative fine imposed under paragraph (2) 3 by the payment deadline, the Minister of Economy and Finance may collect it in the same manner as delinquent national taxes are collected. |
| (6) | Where issuing an order for disciplinary action under paragraph (1), the Minister of Economy and Finance shall record and manage the results of disciplinary action including grounds for and details of the disciplinary action, whether or not he or she is a tax accountant who resigned as public official, and others prescribed by Presidential Decree. <Newly Inserted by Act No. 16103, Dec. 31, 2018> |
| (7) | Matters necessary for the organization, operation, etc. of the Certified Tax Accountant Disciplinary Committee shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
CHAPTER VI KOREAN ASSOCIATION OF CERTIFIED PUBLIC TAX ACCOUNTANTS
| Article 18 (Establishment and Supervision) |
| (1) | The Korean Association of Certified Public Tax Accountants shall be established in order to promote the dignity of certified tax accountants, promote the improvement and development of their practices, and execute administrative affairs relating to guidance for and supervision over certified tax accountants. |
| (2) | The Korean Association of Certified Public Tax Accountants shall be a corporation, and certified tax accountants shall be its members. |
| (3) | The Korean Association of Certified Public Tax Accountants shall establish regulations and obtain authorization therefor from the Minister of Economy and Finance before incorporation. |
| (4) | Where the Korean Association of Certified Public Tax Accountants intends to amend its regulations, it shall obtain approval therefor from the Minister of Economy and Finance, as prescribed by Presidential Decree. |
| (5) | Matters necessary for the establishment, operation, etc. of the Korean Association of Certified Public Tax Accountants and matters that shall be included in regulations of the Korean Association of Certified Public Tax Accountants shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 11610, Jan. 1, 2013]
| Article 18-2 (Training for Members) |
| (1) | The Korean Association of Certified Public Tax Accountants shall conduct training courses for the following persons and shall guide and supervise self-training activities of members: <Amended by Act No. 11610, Jan. 1, 2013; Act No. 14045, Mar. 2, 2016> |
| (2) | The Korean Association of Certified Public Tax Accountants shall have a Taxation Training Institute to conduct the training referred to in paragraph (1). <Amended by Act No. 11610, Jan. 1, 2013> |
| (3) | Necessary matters concerning the training and supervision referred to in paragraph (1) shall be determined by the Korean Association of Certified Public Tax Accountants with approval from the Minister of Economy and Finance. <Amended by Act No. 11610, Jan. 1, 2013> |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 18-3 (Entrustment of Affairs) |
| (1) | A public institution may entrust the Korean Association of Certified Public Tax Accountants with affairs or seek advice about matters within the scope of the services of certified tax accountants pursuant to Article 2. <Amended by Act No. 11610, Jan. 1, 2013> |
| (2) | Where the Korean Association of Certified Public Tax Accountants is entrusted with affairs or requested to give advice pursuant to paragraph (1), it may authorize any of its members to carry out such affairs or provide advice. <Amended by Act No. 11610, Jan. 1, 2013> |
[This Article Newly Inserted by Act No. 9348, Jan. 30, 2009]
| Article 18-4 (Obligation of Cooperation for Public Representation) |
The Korean Association of Certified Public Tax Accountants shall fully cooperate in the efficient operation of the public representation system by supporting tax agent services of public representatives under Article 59-2 of the Framework Act on National Taxes. <Amended by Act No. 16103, Dec. 31, 2018>
| Article 19 (Expulsion of Members) |
The Korean Association of Certified Public Tax Accountants may expel a member who degrades certified tax accountants' dignity or who violates the regulations of the Korean Association of Certified Public Tax Accountants, with approval from the Minister of Economy and Finance. <Amended by Act No. 11610, Jan. 1, 2013>
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
CHAPTER VI-2 FOREIGN CERTIFIED TAX CONSULTANT AND FOREIGN CERTIFIED TAX ACCOUNTING CORPORATION
| Article 19-2 (Definitions) |
The terms used in this Chapter are defined as follows:
| 1. | The term "foreign-certified tax consultant" means a person qualified as a tax specialist in his or her home country and whose qualification as a foreign-certified tax consultant is approved by the Minister of Economy and Finance pursuant to Article 19-3: |
| 2. | The term "private office for foreign tax consulting services" means an office established by a foreign-certified tax consultant to provide tax services referred to in Article 19-7 in Korea; |
| 3. | The term "foreign-certified tax accounting corporation" means a tax accounting corporation incorporated in accordance with statutes and regulations of a country, other than the Republic of Korea, and the head office of which is located in such country, or any organization equivalent thereto; |
| 4. | The term "corporate office for foreign tax consulting services" means an office established by a foreign-certified tax accounting corporation to provide tax services referred to in Article 19-7 in Korea; |
| 5. | The term "treaty, etc." means a free trade agreement or any other agreements, concluded between the Republic of Korea and a foreign country (including a union of States, such as a confederation and an economic community) to provide foreign tax services referred to in Article 19-7 in each party to an agreement, and entered into force in each party to an agreement; |
| 6. | The term "home country of qualification" means a country prescribed by Presidential Decree, in which a foreign-certified tax consultant is qualified as a tax specialist and which is a party to the relevant treaty, etc.: Provided, That where a country has several states, provinces, autonomous districts, etc. granting qualification to be recognized only within the relevant area in accordance with Acts of the country, each of such states, provinces, autonomous districts, etc. shall be deemed a home country of qualification. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-3 (Qualification Approval of Foreign-Certified Tax Consultants) |
| (1) | Any person qualified as a tax specialist in the home country of qualification and intending to become a foreign-certified tax consultant in Korea shall obtain qualification approval of a foreign-certified tax consultant from the Minister of Economy and Finance. |
| (2) | Any person intending to apply for qualification approval of a foreign-certified tax consultant pursuant to paragraph (1) (hereinafter referred to as "applicant for qualification approval") shall submit an application to the Minister of Economy and Finance, along with the following documents: |
| 1. | A document attesting that he or she has been qualified as a tax specialist in the home country of qualification; |
| 2. | A document attesting that he or she has at least three years of work experience as a tax specialist in the home country of qualification; |
| 3. | A document certifying that he or she does not fall under any ground for disqualification as a certified tax consultant referred to in Article 4 and a document promising that he or she is willing to or able to perform his or her duties conscientiously and appropriately; |
| 4. | A document attesting that he or she has a place in Korea where any document, etc. can be served. |
| (3) | A document to be attached under paragraph (2) shall be an original or certified copy thereof, and a document not in Korean shall be accompanied by a notarized translation in Korean. |
| (4) | The detailed scope of tax specialists recognized in the home country of qualification shall be prescribed by Presidential Decree. |
| (5) | Matters concerning the preparation and submission of applications for qualification approval shall be prescribed by Ordinance of the Ministry of Economy and Finance. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-4 (Issuance of Certificates of Foreign-Certified Tax Consultants) |
| (1) | The Minister of Economy and Finance shall verify the details of documents submitted by applicants for qualification approval pursuant to Article 19-3 and issue a certificate as a foreign-certified tax consultant to an applicant who has submitted a complete application for qualification approval. |
| (2) | When the Minister of Economy and Finance rejects an application for qualification approval, he or she shall, without delay, notify the applicant of the purport of and ground for such rejection. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-5 (Registration of Foreign-Certified Tax Consultants) |
| (1) | A foreign-certified tax consultant intending to provide services referred to in Article 19-7 shall register his or her name in the register of foreign-certified tax consultants kept by the Ministry of Economy and Finance. |
| (2) | If a change occurs to any registered matter with regard to a foreign-certified tax consultant registered pursuant to paragraph (1), he or she shall report to the Minister of Economy and Finance thereon, as prescribed by Presidential Decree. <Newly Inserted by Act No. 11610, Jan. 1, 2013> |
| (3) | Matters necessary for the procedure for registration under paragraph (1), accompanying documents, etc. shall be prescribed by Presidential Decree. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-6 (Revocation of Registration of Foreign-Certified Tax Consultants) |
| (1) | Where a foreign-certified tax consultant falls under any of the following cases, the Minister of Economy and Finance shall revoke his or her registration: |
| 1. | Where he or she is disqualified as a tax specialist or his or her qualification as a tax specialist is suspended in the home country of qualification; |
| 2. | Where he or she becomes disqualified under Article 4 (including cases where he or she becomes disqualified under Article 4 in accordance with statutes and regulations of the home country of qualification); |
| 3. | Where he or she makes false entry in an application for registration or falsely states important matters in an attached document; |
| 4. | Where he or she reports the discontinuation of his or her business; |
| 5. | Where he or she is deceased. |
| (2) | When the Minister of Economy and Finance revokes registration pursuant to paragraph (1), he or she shall notify the relevant foreign-certified tax consultant of such revocation, with the grounds therefor clearly specified. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-7 (Scope of Services) |
A foreign-certified tax consultant shall provide the following services with the authority delegated by a taxpayer, etc.:
| 1. | Consultations or advices on tax-related statutes and regulations and taxation systems of the home country of his or her qualification; |
| 2. | Consultations or advices on international taxes prescribed by Presidential Decree. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-8 (Methods of Providing Services by Foreign-Certified Tax Consultants) |
A foreign-certified tax consultant who has completed registration pursuant to Article 19-5 shall provided services referred to in Article 19-7 only by any of the following methods: | 1. | Providing services after establishing one private office for foreign tax consulting services; |
| 2. | Providing services after being employed as a foreign-certified tax consultant by a private office for foreign tax consulting services; |
| 3. | Providing services after being affiliated with or employed by a corporate office for foreign tax consulting services; |
| 4. | Providing services after being employed as a foreign-certified tax consultant by a tax accounting corporation established under Article 16-3. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-9 (Registration of Corporate Offices for Foreign Tax Consulting Services) |
| (1) | Where a foreign-certified tax accounting corporation establishes a corporate office for foreign tax consulting services and provides services referred to in Article 19-7 through such corporate office, it shall file for registration with the Minister of Economy and Finance, as prescribed by Presidential Decree. |
| (2) | If a change occurs to any registered matter with regard to a foreign-certified tax accounting corporation registered pursuant to paragraph (1), the corporation shall report to the Minister of Economy and Finance thereon, as prescribed by Presidential Decree. <Newly Inserted by Act No. 11610, Jan. 1, 2013> |
| (3) | Matters necessary for the requirements for registration under paragraph (1), accompanying documents, procedures for registration, etc. shall be prescribed by Presidential Decree. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-10 (Revocation of Registration of Corporate Offices for Foreign Tax Consulting Services) |
Where a corporate office for foreign tax consulting services registered under Article 19-9 falls under any of the following cases, the Minister of Economy and Finance may revoke its registration or issue an order to wholly or partially suspend its business operations for up to one year: Provided, That in cases falling under subparagraph 1 or 2, registration thereof shall be revoked: <Amended by Act No. 13624, Dec. 29, 2015; Act No. 14045, Mar. 2, 2016> | 1. | Where a foreign-certified tax accounting corporation is subject to a disposition to revoke registration or suspend business in the home country of qualification; |
| 2. | Where it falsely states the important matters in an application for registration or a document attached thereto; |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-11 (Representation of Qualification) |
| (1) | Where a foreign-certified tax consultant identifies himself or herself in providing services, he or she shall use, in his or her title, the phrase "tax consultant", following the name of the home country of qualification: Provided, that where his or her home country of qualification is a certain area of one country, such as a state, province, autonomous district, he or she may use, the phrase "tax consultant", following the name of the home country of qualification in which the certain area is located. |
| (2) | A private office for foreign tax consulting services shall use, in its title, the phrase "office for tax consulting services" after indicating the name of the home country of qualification and the name of a foreign-certified tax consultant, while a corporate office for foreign tax consulting services shall use, in its title, the phrase "office for tax consulting services" after indicating the name of the home country of qualification and the name of the head office. |
| (3) | An office for tax consulting services under paragraph (2) shall post a notice of the home country of qualification of a foreign-certified private tax consultant or foreign-certified corporation-affiliated tax consultant at an appropriate place of such office in a public-friendly manner. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-12 (Responsibilities of Foreign-Certified Tax Consultants) |
| (1) | No current or former foreign-certified tax consultant or his or her current or former clerk shall divulge any confidential information he or she has learned in the course of performing his or her business, except as otherwise expressly prescribed by other statutes and regulations. |
| (2) | A foreign-certified tax consultant shall stay in Korea for at least 180 days a year, except in any of the following cases: Provided, That the period for which a foreign-certified tax consultant stays overseas due to his or her own or his or her relative's injury or illness or any other extenuating circumstance shall be deemed the period of his or her stay in Korea: |
| 1. | Where he or she is employed by a private office for foreign tax consulting services; |
| 2. | Where he or she is employed by a corporate office for foreign tax consulting services; |
| 3. | Where he or she is employed by a tax accounting corporation established under Article 16-3. |
| (3) | Where a foreign-certified tax consultant or a corporate office for foreign tax consulting services ceases to be qualified as a tax specialist in the home country of qualification or a foreign-certified tax accounting corporation is subject to a disposition to revoke registration or suspend business in the home country of qualification, he or she or it shall, without delay, report thereon to the Minister of Economy and Finance. |
| (4) | When a foreign-certified tax consultant or a corporate office for foreign tax consulting services commences, suspends or discontinues business operations or establishes, relocates or closes its office, he or she shall, without delay, report thereon to the Minister of Economy and Finance. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-13 (Prohibition of Employment and Partnership) |
| (1) | No foreign-certified tax consultant or corporate office for foreign tax consulting services shall employ a certified tax accountant registered under Article 6 (1). |
| (2) | No foreign-certified tax consultant or corporate office for foreign tax consulting services shall enter into a joint contract for, or jointly provide, services referred to in Article 19-7 with a certified tax accountant or tax accounting corporation, and accordingly share compensation or proceeds therefrom. |
[This Article Newly Inserted by Act No. 10805, Jun. 30, 2011]
| Article 19-14 (Investment of Foreign-Certified Tax Consultants to Tax Accounting Corporations) |
The Foreign-Certified Tax Consultants may make investments to a tax accounting corporation established pursuant to Article 16-3 to the extent of less than 50/100 of the investment equities with the voting rights or the total capital amount of such tax accounting corporation. In such cases, the investment amount of each foreign-certified tax consultant shall be less than 10/100 of the investment equities with the voting rights or the total capital amount of such tax accounting corporation. [This Article Newly Inserted by Act No. 14045, Mar. 2, 2016]
| Article 19-15 (Provisions Applicable Mutatis Mutandis) |
Articles 6 (2), (3) 1 and (4), 12, 12-2 through 12-5, 13 (1), 14, 14-2, 15, 16-2, 16-4 (2) 2 and 3, 16-4 (3), 16-7, 16-10, 16-11, 16-13, 16-15 (2), 17, 18 (2), 19, 20, and 24 shall apply mutatis mutandis to foreign-certified tax consultants and corporate offices for foreign tax consulting services. <Amended by Act No. 13624, Dec. 29, 2015; Act No. 14045, Mar. 2, 2016; Act No. 16103, Dec. 31, 2018> [This Article Wholly Amended by Act No. 11610, Jan. 1, 2013]
CHAPTER VII SUPPLEMENTARY PROVISIONS
| Article 20 (Restriction on Services) |
| (1) | No person, other than those who have registered under Article 6, shall provide tax agent services: Provided, That this shall not apply where he or she provides tax agent services as duties of an attorney-at-law pursuant to Article 3 of the Attorney-at-Law Act and where he or she has registered under Article 20-2 (1). |
| (2) | No person, other than those who have registered under Article 6, shall use the title of a certified tax accountant or other titles similar thereto. |
| (3) | None of the persons who shall not provide tax agent services pursuant to paragraph (1) shall represent or advertise anything to the effect that he or she provides tax agent services: Provided, That this shall not apply where such services are included in the scope of services of any person prescribed by other Acts. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
[Conconformity to the Constitution, 2015 Hun-Ga 19, Apr. 26, 2018, part regarding an attorney-at-law provided in Article 20 (1) of the Certified Tax Accountant Act (Amended by Act No. 9348, Jan. 30, 2009) is all inconsistent with the Constitution. Aforesaid povision shall be applicable until the amendment to be made, not later than December 31, 2019]
| Article 20-2 (Tax Agent Services under other Acts) |
| (1) | If a certified public accountant registered under the Certified Public Accountant Act intends to begin tax agent services, he or she shall register his or her name in the register of tax agent services kept in the Ministry of Economy and Finance. |
| (2) | Articles 1-2, 4, 9 through 12, 12-2 through 12-5, 13, 14, 14-2, 15, 16, 16-2, 17 (excluding paragraph (1) 2 of the same Article) and Chapter VIII shall apply mutatis mutandis to those providing tax agent services pursuant to paragraph (1). In such cases, in the relevant provisions, "certified tax accountant" shall be construed as "certified public accountant", “Korean Association of Certified Public Tax Accountants” shall be as “Korean Institute of Certified Public Accountants” and "Article 6" as "Article 20-2 (1)". <Amended by Act No. 13624, Dec. 29, 2015; Act No. 14045, Mar. 2, 2016; Act No. 16103, Dec. 31, 2018> |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 20-3 (Delegation of Authority and Entrustment of Duties) |
| (1) | The Minister of Economy and Finance may delegate part of his or her authority vested under this Act to the Commissioner of the National Tax Service, as prescribed by Presidential Decree. |
| (2) | The Minister of Economy and Finance may entrust his or her duties concerning a qualification examination for certified public accountants pursuant to Article 5 to a corporation incorporated for the purpose of the qualification examination, etc., as prescribed by Presidential Decree. |
| (3) | The Minister of Economy and Finance may entrust the Korean Association of Certified Public Tax Accountants with affairs related to the registration of the following persons as certified tax accountants, among registration affairs assigned to him or her under Articles 6 through 8, as prescribed by Presidential Decree: <Newly Inserted by Act No. 10624, May 2, 2011; Act No. 11610, Jan. 1, 2013> |
| 1. | A person qualified as a certified tax accountant, after passing a qualification examination for certified tax accountants under Article 5; |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 21 (Re-Examination of Regulation) |
The Minister of Economy and Finance shall examine the appropriateness of the following matters every three years (the period ending on the day immediately before every third anniversary of the base date) and shall take measures, such as making improvements:
| 1. | Matters to be specified in the articles of incorporation of tax accounting corporations referred to in Article 16-3 (2): January 1, 2016; |
| 2. | Matters concerning the registration, and requirements and refusal thereof, of tax accounting corporations referred to in Article 16-4: January 1, 2016; |
| 3. | Matters concerning grounds for dissolution of tax accounting corporations, the notification of the fact of the occurrence of grounds for dissolution, and the deposit of the compensation reserve referred to in Article 16-13: January 1, 2016; |
| 4. | Amended matters of the articles of incorporation, which are to be reported by tax accounting corporations referred to in Article 16-14: January 1, 2016. |
[This Article Newly Inserted by Act No. 13624, Dec. 29, 2015]
| Article 21-2 (Legal Fiction as Public Official in Application of Penalty Provisions) |
[This Article Newly Inserted by Act No. 14045, Mar. 2, 2016]
CHAPTER VIII PENALTY PROVISIONS
| Article 22 (Penalty Provisions) |
| (1) | Any of the following persons shall be punished by imprisonment with labor for not more than three years or by a fine not exceeding 30 million won: <Amended by Act No. 10805, Jun. 30, 2011> |
| 1. | Any person providing tax agent services without qualification as a certified tax accountant; |
| 2. | Any person divulging any confidential information he or she has learned in the course of performing his or her duties, in violation of Articles 11 (including cases where the same Article is applied mutatis mutandis under Article 16-16 (1)) and 19-12 (1). |
| (2) | Any certified tax accountant abetting a person in a crime prescribed in the Punishment of Tax Offenses Act and a crime relating to the duties of public officials prescribed in the Criminal Act shall be punished by aggravating by 1/3 of a term of imprisonment or a fine referred to in the relevant provisions applicable thereto. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 22-2 (Penalty Provisions) |
Any of the following persons shall be punished by imprisonment with labor for not more than one year or by a fine not exceeding 10 million won: <Amended by Act No. 10805, Jun. 30, 2011; Act No. 14045, Mar. 2, 2016>
| 1. | Any person lending his or her name, etc., in violation of Article 12-3 (including where the same Article is applied mutatis mutandis under Articles 16-16 (1) and 19-15); |
| 2. | Any person using the name of a tax accounting corporation, certified tax accountant or any name similar thereto without registration, in violation of Article 16-9 (2) or 20 (2) (including cases where the same Article is applied mutatis mutandis under Article 19-15); |
| 3. | Any person subject to an order to suspend his or her business or whose registration has been rejected pursuant to Article 17 (including where the same Article is applied mutatis mutandis under Article 19-15), but who provides tax agent services during the period of the suspension of business or the rejection of registration; |
| 4. | Any person entitled to provide tax agent services pursuant to this Act, but who provides tax agent services without registration, in violation of Article 6 or 20-2 (1); |
| 5. | Any person qualified as a tax specialist in the home country of qualification, but who fails to obtain qualification approval under Article 19-3 or provides services referred to in Article 19-7 without registration pursuant to Article 19-5. |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 23 (Penalty Provisions) |
Any of the following persons shall be punished by a fine not exceeding two million won: <Amended by Act No. 10805, Jun. 30, 2011; Act No. 14045, Mar. 2, 2016>
| 1. | Any person violating Article 13 (including where the same Article is applied mutatis mutandis under Article 19-15), such as violating matters concerning the establishment of offices; |
| 2. | Any person acquiring the right in dispute by transfer, in violation of Article 15 (including where the same Article is applied mutatis mutandis under Articles 16-16 (1) and 19-15); |
| 3. | Any person serving concurrently as a public official or running business for profit, in violation of Article 16; |
| 4. | Any person providing competitive services, in violation of Article 16-12; |
| 5. | Any person representing or advertising anything prohibited by the provisions of Article 20 (3) (including where the same Article is applied mutatis mutandis under Article 19-15). |
[This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
| Article 24 (Joint Penalty Provisions) |
If an employee, affiliated certified tax accountant, or any other person employed by a tax accounting corporation commits an offence under any of Article 22, subparagraph 1 or 2 of Article 22-2 or subparagraph 2 of Article 23 in connection with the business of the tax accounting corporation, not only shall such offender be punished, but also the tax accounting corporation shall be punished by a fine referred to in the relevant Articles: Provided, That this shall not apply where such tax accounting corporation has not been negligent in giving due attention to and supervision concerning the relevant business to prevent such offence. [This Article Wholly Amended by Act No. 9348, Jan. 30, 2009]
ADDENDUM
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 2358, Dec. 8, 1972>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation. |
| (2) | (Transitional Measures) Persons who have passed a qualification examination for certified tax accountants under the previous provisions as at the time this Act enters into force shall be deemed persons who have passed a qualification examination for certified tax accountants under this Act, and those who fall under subparagraphs 4 through 7 of the previous Article 3, and report to the Minister of Economy and Finance within 90 days from the date on which this Act enters into force, as prescribed by Presidential Decree, shall be deemed qualified as a certified tax accountant under this Act. |
ADDENDUM <Act No. 3105, Dec. 5, 1978>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 3441, Apr. 13, 1981>
Article 1 (Enforcement Date)
This Act shall enter into force 30 days after the date of its promulgation.
Articles 2 through 15 Omitted.
ADDENDA <Act No. 4166, Dec. 30, 1989>
| (1) | (Enforcement Date) This Act shall enter into force on January 1, 1990. |
| (2) | (Applicability to Examinations) The amended provisions of Articles 5 and 5-2 shall begin to apply from the first examination implemented after January 1, 1991: Provided, That in cases of the examination implemented in 1990, those prescribed in Article 5-2 (2) shall be exempted from all subjects of the examination being academic subjects and those concerning the practice of tax laws. |
| (3) | (Transitional Measures concerning Registration) If a person who provides tax agent services under other Acts without registration required under Article 6 as at the time this Act enters into force, wishes to continue such services even after this Act enters into force, he or she shall file for registration under Article 6 within three months after this Act enters into force. |
ADDENDA <Act No. 4983, Dec. 6, 1995>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation: Provided, That the provisions of Article 16-2 shall enter into force on January 1, 1997. |
| (2) | (Applicability to Revocation of Registration) The provisions of Article 17 (2) shall begin to apply from the first case where a reason falling under any subparagraph of paragraph (1) of the said Article arises after this Act enters into force. |
ADDENDA <Act No. 5815, Feb. 5, 1999>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation. (Proviso Omitted.) |
| (2) | (Transitional Measures concerning Penalty Provisions) The application of penalty provisions to acts done before this Act enters into force shall be governed by the previous provisions. |
ADDENDA <Act No. 6080, Dec. 31, 1999>
| (1) | (Enforcement Date) This Act shall enter into force on January 1, 2000: Provided, That the amended provisions of Article 3, part other than the provisions of Article 5-2 (2) and subparagraph 1 of the same paragraph shall enter into force on January 1, 2001. |
| (2) | (Applicability to Suspension of Qualification) The amended provisions of Article 17 (2) and (3) shall apply from the first disciplinary action taken after this Act enters into force. |
| (3) | (Transitional Measures concerning Person Qualified as Certified Tax Accountant) With respect to any person who has engaged in administrative affairs regarding national taxes (excluding customs) prior to December 31, 2000 shall be governed by the previous provisions, notwithstanding the amended provisions of subparagraph 2 of Article 3. <Amended by Act No. 6837, Dec. 30, 2002> |
<<This paragraph which was decided to be incompatible with the Constitution by the Constitutional Court on September 27, 2001 is amended by Act No. 6837, December 30, 2002>>
ADDENDA<Act No. 6837, Dec. 30, 2002>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That the amended provisions of Articles 13 (1) and (3), 13-2 and 16-2 through 16-16 shall enter into force three months after the date of its promulgation. Article 2 (Transitional Measures concerning Corporate Joint Office)
| (1) | Any corporate joint office under the previous provisions of Article 13-2 as at the time this Act enters into force shall be governed by the previous provisions of Article 13-2 until December 31, 2004, notwithstanding the amended provisions of Articles 16-3 through 16-16. <Amended by Act No. 7032, Dec. 31, 2003> |
| (2) | If any corporate joint office under the previous provisions of Article 13-2 as at the time this Act enters into force fails to meet the requirements prescribed in the amended provisions of Articles 16-4, 16-5 and 16-6 (1) until December 31, 2004, such corporate joint office shall be deemed dissolved on December 31, 2004. <Amended by Act No. 7032, Dec. 31, 2003> |
Article 3 (Transitional Measures concerning Employees of Corporate Joint Office)
Any current or former employee of a corporate joint office as at the time this Act enters into force under the previous provisions of Article 13-2 shall be deemed a director of a tax accounting corporation established under this Act for the purposes of the amended provisions of Article 16-5 (2) 3. Article 4 (Transitional Measures concerning Certified Tax Accountants Prohibited from being Engaged in Profit-Making Business)
Any certified tax accountant who is engaged in the profit-making business after obtaining permission therefor from the Minister of Economy and Finance or who is an employee of any person who runs the profit-making business or an executive officer of any corporation established for the purpose of profit, under the previous provisions of Article 16 (2) as at the time this Act enters into force shall be governed by the previous provisions until December 31, 2004, notwithstanding the amended provisions of Article 16 (2). Article 5 (Transitional Measures concerning Penalty Provisions)
The application of the penalty provisions to any act done before this Act enter into force shall be governed by the previous provisions.
ADDENDA<Act No. 7032, Dec. 31, 2003>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Registration of Certified Tax Accountants)
| (1) | Notwithstanding the amended provisions of Article 6, any of the following persons may be registered as a certified tax accountant in accordance with the same provisions: Provided, That a judicial trainee provided for in subparagraph 3 may be registered as a certified tax accountant from the time he or she completes the required course of the Judicial Research and Training Institute: <Amended by Act No. 10624, May 2, 2011> |
| 1. | A person qualified as a certified tax accountant pursuant to paragraph (2) of the Addenda to the Certified Tax Accountant Act (Act No. 2358); |
| 3. | A person qualified as a certified tax accountant pursuant to the previous provisions of subparagraph 3 or 4 of Article 3 or a judicial trainee as at the time this Act enters into force. |
| (2) | The provisions of Articles 12-5 (2), 18 (1) and 19 and the amended provisions of Article 17 (1) 2 shall not apply to the certified tax accountants subjected to application of the previous provisions of Article 20-2 (2) as at the time this Act enters into force: Provided, That the same shall not apply where tax agent services are provided as a specialty pursuant to criteria prescribed by Presidential Decree. |
Article 3 (Transitional Measures concerning Clerks)
A current or former assistant of a certified tax accountant as at the time this Act enters into force shall be deemed a current or former clerk of a certified tax accountant pursuant to this Act.
Article 4 (Transitional Measures concerning Education for Certified Tax Accountant who has Career in National Tax)
In applying the amended provisions of Article 12-5 (1) to a person qualified as a certified tax accountant pursuant to paragraph (3) of the Addenda to the Certified Tax Accountant Act (Act No. 6080), the education period for him or her shall be at least one month. Article 5 (Applicability to and Transitional Measures concerning Disciplinary Action)
| (1) | The amended provisions of Article 17 shall begin to apply from the first disciplinary action taken after this Act enters into force. |
| (2) | An order to suspend qualifications under the previous provisions of Article 17 (2) as at the time this Act enters into force shall be deemed a rejection of registration pursuant to the amended provisions of Article 17 (3). |
Article 6 (Transitional Measures concerning Penalty Provisions)
The previous provisions shall govern any application of penalty provisions to the acts done before this Act enters into force.
Article 7 Omitted.
ADDENDA <Act No. 7335, Jan. 14, 2005>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Articles 2 through 12 Omitted.
ADDENDA <Act No. 7428, Mar. 31, 2005>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 6 Omitted.
ADDENDA <Act No. 7796, Dec. 29, 2005>
Article 1 (Enforcement Date)
This Act shall enter into force on July 1, 2006.
Articles 2 through 6 Omitted.
ADDENDA <Act No. 7878, Mar. 24, 2006>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation. |
| (2) | (Applicability to Partial Exemption from Examination) The amended provisions of Article 5-2 (3) shall begin to apply from the first person who is dismissed or removed from office after this Act enters into force. |
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDA <Act No. 9045, Mar. 28, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force three months after the date of its promulgation.
Articles 2 through 8 Omitted.
ADDENDA <Act No. 9348, Jan. 30, 2009>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation
Article 2 (Applicability to Filing Objections by Proxy concerning Public Announcement of Price of Detached House)
The amended provisions of subparagraph 6 of Article 2 shall begin to apply from the first tax agent services provided after this Act enters into force. Article 3 (Applicability to Revocation of Registration of Tax Accounting Corporations)
The amended provisions of Articles 16-15 (1) and 16-16 (1) shall begin to apply where a reason for revocation of registration arises after this Act enters into force. Article 4 (Transitional Measures concerning Application of Penalty Provisions)
Where the penalty provisions apply to an act done before this Act enters into force, the previous provisions shall apply.
ADDENDA <Act No. 10624, May 2, 2011>
Article 1 (Enforcement Date)
This Act shall enter into force three months after the date of its promulgation.
Article 2 (Applicability to Verification of Conscientious Returns)
The amended provisions of subparagraph 8 or 9 of Article 2 shall begin to apply from the first verification of a conscientious return after this Act enters into force. Article 3 (Transitional Measures concerning Registration of Certified Tax Accountants)
Among persons qualified as a certified tax accountant pursuant to paragraph (2) of the Addenda to the Certified Tax Accountant Act (Act No. 2358) or paragraph (3) of the Addenda to the Certified Tax Accountant Act (Act No. 6080) (referring to the amended provisions in accordance with the Certified Tax Accountant Act (Act No. 6837)), a person registered as a certified tax accountant from December 31, 2003 to the enforcement date of this Act shall be deemed registered pursuant to the amended provisions of Article 2 (1) to the Addenda to the Certified Tax Accountant Act (Act No. 7032).
ADDENDUM <Act No. 10805, Jun. 30, 2011>
This Act shall enter into force on the date on which the Free Trade Agreement between the Republic of Korea, of the One Part, and the European Union and its Member States, of the Other Part takes effect.
ADDENDUM <Act No. 10899, Jul. 25, 2011>
This Act shall enter into force three months after the date of its promulgation.
ADDENDA <Act No. 11209, Jan. 26, 2012>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Certified Public Accountants Duly Qualified as Certified Tax Accountants)
Notwithstanding the amended provisions of this Act, any person duly qualified as a certified tax accountant in accordance with the amended provisions of subparagraph 2 of Article 3 as at the time this Act enters into force shall be deemed qualified as a certified tax accountant.
ADDENDA <Act No. 11610, Jan. 1, 2013>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2013.
Article 2 (Transitional Measures concerning the Korean Association of Certified Public Tax Accountants)
The Association of Certified Public Tax Accountants established pursuant to previous provisions at the time this Act enters into force shall be deemed the Korean Association of Certified Public Tax Accountants under this Act.
Article 3 (Relationship to other Statutes and Regulations)
A citation of the Association of Certified Public Tax Accountants by any other statute or regulation in force at the time this Act enters into force shall be deemed a citation of the Korean Association of Certified Public Tax Accountants under this Act in lieu of the former Association.
ADDENDA <Act No. 13624, Dec. 29, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2016.
Article 2 (Transitional Measures concerning Cancellation of Registration of Tax Accounting Corporation)
Notwithstanding the amended provisions of Articles 14 and 16-15 (1) 5, the former provisions shall apply where the former Article 14 is violated before this Act enters into force. Article 3 (Transitional Measures concerning Cancellation of Registration of Corporate Office for Foreign Tax Consulting Services)
Notwithstanding the amended provisions of Article 14 and subparagraph 3 of Article 19-10, the former provisions shall apply where the former Article 14 is violated before this Act enters into force.
ADDENDA <Act No. 13796, Jan. 19, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force on September 1, 2016.
Articles 2 through 4 Omitted.
ADDENDA <Act No. 14045, Mar. 2, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Applicability to Grounds for Disqualification for Certified Tax Account)
The amended provisions of subparagraph 5 of Article 4 shall begin to apply from the first case where the registration is cancelled after this Act enters into force. Article 3 (Transitional Measures concerning Incompetent Persons)
Persons under adult guardianship or persons under limited guardianship referred to in the amended provision of subparagraph 2 of Article 4 shall be deemed to include persons for whom the declaration of incompetency or quasi-incompetency remains effective pursuant to Article 2 of the Addenda to the Civil Act (Act No. 10429).
ADDENDA <Act No. 15222, Dec. 19, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2018.
Articles 2 through 10 Omitted.
ADDENDA <Act No. 15288, Dec. 26, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2018.
Article 2 (Applicability to Qualification for Certified Tax Account)
A person qualified as a tax account pursuant to the previous subparagraph 3 of Article 3 as at the time this Act enters into force shall be deemed qualified as a tax account, notwithstanding the amended provisions of subparagraph 3 of Article 3. Article 3 (Applicability to Partial Exemptions from Examination)
The amended provisions of Article 5-2 (3) shall begin to apply from the first person who is subject to a disciplinary disposition equivalent to demotion or suspension of business after this Act enters into force.
ADDENDA <Act No. 16103, Dec. 31, 2018>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2019: Provided, That the amended provisions of Article 14 shall enter into force on July 1, 2019. Article 2 (Applicability to Reports on Results of Services)
The amended provisions of Article 14 shall begin to apply from the first results of services provided after the same amended provisions enter into force.