Gimpo City Achieves Success in Collecting Delinquent Local Taxes by Winning Fraudulent Conveyance Lawsuit

Gimpo City in Gyeonggi Province announced on January 9 that it had won a lawsuit to revoke a fraudulent conveyance against the son of a delinquent taxpayer and, after restoring the property to its original state, auctioned it off to collect 17 million won in delinquent local taxes as of December 30, 2025.

Gimpo City Hall exterior view. Provided by Gimpo City

The city discovered that the delinquent taxpayer had transferred ownership of his only asset, land located in Namhae County, South Gyeongsang Province, to his son in the form of a gift. Gimpo City determined that this act was intended to conceal assets and avoid paying taxes owed to the city. Accordingly, the city filed for a provisional disposition to prohibit the disposal of the property and initiated a lawsuit to revoke the fraudulent conveyance. The court accepted Gimpo City's claims and ruled in its favor.

After the ruling was finalized, Gimpo City conducted a public auction of the restored property in accordance with relevant laws, completed the sale, and collected the delinquent local taxes through the distribution of proceeds.

This ruling and subsequent enforcement are seen as an example of the judiciary effectively exercising control over the concealment and fraudulent transfer of assets by debtors.

Park Kyung-ae, Head of the Tax Collection Division, stated, "We will continue to actively respond to illegal and unjust acts such as fraudulent conveyances that hinder the collection of local taxes, and do our utmost to establish a fair tax order."