Dentium Wins Tax Appeal... "Full Refund of 10.3 Billion KRW"

[Asia Economy Reporter Minji Lee] Dentium, a specialized implant company, announced on the 16th that it will receive a full refund of the 10.3 billion KRW in taxes imposed during the regular tax audit last October after filing an appeal with the Tax Tribunal.

Yesterday, Dentium disclosed that although it was imposed a tax of 10.3 billion KRW during the National Tax Service's regular tax audit last October, it received a notice from the Tax Tribunal canceling the tax imposition totaling 10.3 billion KRW, including 7.8 billion KRW in corporate tax and 2.5 billion KRW in VAT.

At that time, the National Tax Service imposed taxes by classifying the return of implant products as entertainment expenses, but the recent Tax Tribunal ruling concluded that the company’s accounting treatment was appropriate.

The company has been deducting returned implants from sales and accounting for them as expenses. A company official stated, “We hope this ruling restores market confidence in our accounting policies and alleviates concerns about our business policies,” adding, “The refund of the previously paid taxes will significantly increase net income this year and greatly improve operating cash flow, positively impacting our financial structure.”