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3.  Tax Administration
	The Office of Tax and Customs at the Ministry of Finance and
Economy is responsible for planning tax policies and drafting tax
laws, while the National Tax Service carries out the
administration enforcement, which includes tax assessment and
collection.
a. Office of Tax and Customs, Ministry of Finance and Economy
		The Office of Tax & Customs plans and coordinates overall
	national tax and customs policies.  It is headed by the Deputy
	Minister for Tax and Customs, assisted by three
	Directors-General and eleven Division Directors (seven for
	internal taxes, three for customs and duties and task force for
	office of real estate policy). The Divisions include Tax Policy,
	Tax Expenditure, Income, Corporation, Property, Consumption, and
	International Tax.  The functions of each division except three
	divisions for customs and duties are below.
	(1) Tax Policy Division
	-	Plans tax policy in general
	-	Estimates tax revenue and analyzes actual tax revenue
	-	Drafts the Basic Law for National Taxes and National Tax
			Collection Law
	(2) Tax Expenditure Division
	-	Plans, drafts, and interprets laws, including Special Tax
			Treatment Control Law, Education Tax Law, and Special Tax
			Law for Rural Development
	-	Estimates and analyzes tax exemptions and reductions
	-	Does research on the internal tax systems
	(3) Income Tax Division
	-	Plans, drafts, and interprets laws concerning individual
			income tax and other related internal taxes excluding
			matters dealt by the International Tax Division
	(4) Corporation Tax Division
	-	Plans, drafts, and interprets laws concerning corporation tax
			and other related internal taxes excluding matters dealt by
			the International Tax Division
	(5) Property Tax Division
	-	Plans, drafts, and interprets laws and provisions of the
			Income Tax Law concerning capital gains tax and those of the
			corporation Tax Law concerning additional tax on capital
			gains
	-	Plans, drafts, and interprets laws concerning inheritance tax,
			gift tax and securities transaction tax
	(6) Consumption Tax Division
	-	Plans, drafts, and interprets laws concerning the value added
			tax, special excise tax, liquor tax, telephone tax, stamp
			tax, and transportation tax
	(7) International Tax Division
	-	Researches, plans, drafts, and interprets tax treaties with
			foreign countries
	-	Researches, plans, drafts, and interprets laws concerning
			taxation on income of non-residents and foreign corporations
	-	Promotes international cooperation in the tax area
	-	Researches foreign tax systems
	(8) Office of Real Estate Policy
	-  Support real estate conference of National Economy Advisory Council,
			which coordinates, reconciles real estate policies produced by each
			division.
b. National Tax Tribunal
	The National Tax Tribunal was established as an independent
	organization under the former Ministry of Finance on April 1,
	1975. It is now composed of a General Affairs Division, a
	Supreme Judge, 3 Judges, and 10 Examiners.  It is responsible
	for examining and judging tax appellate cases.
c. National Tax Service
		The National Tax Service was established as an external
	organization for the Ministry of Finance on March 3, 1966,
	taking over the Taxation Bureau of the Ministry of Finance. It
	is mainly in charge of the assessment and collection of internal
	taxes. Headed by the Commissioner, it is responsible for
	establishing basic policies; and it supports tax administration
	by directing, supervising, and controlling the Regional,
	District, and Branch Tax Offices.
		The National Tax Service consists of a Planning and Management
	Controller, a Data Management Controller, an Inspector, eight
	bureaus, three affiliated organizations, six Regional Tax
	Offices, 104 District Tax Offices, and 17 Branch Offices.
	(1) Internal Organization
		i)	The Planning and Management Controller is responsible
			for policy formulation, planning, budgeting, and the
			management of tax administration in general.
		ii)	The Electronic Data Management Controller is in charge
			of managing and developing data using a computer system
			located in the main Electronic Data Processing System
			(EDPS) center in Seoul and three regional EDPS branches.
		iii) The International Tax Controller is responsible for
			collecting and giving out international-tax related
			information, dealing with cross-border tax issues.
		iv)	The Taxpayer Service Bureau has four divisions: Tax
			Collection Division, Taxpayer Advocate Division, and
			Public Relations Division. The Tax Collection Division
			covers revenue forecasting, controlling the collection of
			national taxes, refunds of overpaid taxes, and the
			management of delinquent taxpayers. The Taxpayer Advocate
			Division covers tax appellate review and handles civil
			applications whereas the Public Relations Division covers
			publicity planning and coordination.
		v)  The Legal Affairs & Appeals Bureau consists of four
			divisions: Legal Affairs Division, Tax Appeals Divisions
			I, II, and III.
		vi) The Individual Taxation Bureau is composed of Value Added
			Tax Division, Individual Income Tax Division, and
			Property Related Tax Division. The Corporation Taxation
			Bureau is made up of the following: Corporation Tax
			Division, Excise Tax Division, and International
			Operation Division.
		vii) The Corporate Investigation Bureau includes the
			Investigation Divisions I, II and the Corporate Affairs
			Division. The First Investigation Division is in charge
			of policy-making, planning, analyzing, and the evaluation
			of tax intelligence and investigation programs. The
			Second Investigation Division covers the collection,
			analysis, and management of intelligence and information
			related to internal tax evasion. The Corporate Affairs
			Division is in charge of tax investigations of large
			corporations and their income sources.
	(2) Affiliated Organizations
		i)	The National Tax Officials Training Institute, an
			independent organization, undertakes the training of
			national tax officials.
		ii)	The Technical Service Institute performs technical
			analysis of taxable articles such as liquor and chemical
			products.
		iii)	The National Tax Consulting Center handles various
			complaints and queries raised by taxpayers and offers
			advice and answers over the phone.
	(3) Regional Tax Office, National Tax Service
		Under the supervision of the National Tax Service, the Regional
		Tax Office is responsible for the direct guidance and control over
		the activities of the District Tax Offices. In addition, a Regional
		Tax Office directly handles the assessment of special-case taxes on
		certain taxpayers. There are six Regional Tax Offices nationwide,
		located in the cities of Seoul, Suwon, Daejeon, Gwangju, Daegu, and
		Busan.
		A Regional Tax Office has five bureaus: Collection Support
		Bureau, Revenue Control Bureau, Investigation Bureaus I, II & III..
		The Collection Support Division is in charge of tax collection,
		review of appellate applications and electronic management. The
		Revenue Control Division consists of Individual Tax Division,
		Corporation Tax Division. The Investigation Bureaus I, II & III
		consists of several divisions such as Investigation Management
		Division and Special Investigations Divisions.
	(4) District Tax Office
		A District Tax Office is the front-line organization responsible
		for the assessment, collection, audit, and investigation of all
		internal taxes. In general, a District Tax Office consists of the
		Collection Support Division, Revenue Control Division, Investigation
		Division I, II & III. However, organization of the individual
		District Tax Offices varies according to the respective scale of the
		districts they govern.
		-	The Collection Support Division is in charge of personnel
			administration, accounting, collection, review of appellate
			applications against unfair taxation, tax consultation, and
			general affairs.
		-	The Revenue Control Division consists of Individual Tax
			Division, Corporation Tax Division. The Investigation
			Bureaus I, II & III consists of several divisions such as
			Investigation Management Division and Special Investigations
			Divisions.