(1) Where a domestic corporation (excluding insurance companies defined in the Insurance Business Act) operating an insurance business has appropriated the liability reserve funds (hereinafter referred to as "liability reserve funds") as deductible expenses under the Fisheries Cooperatives Act and other Acts related to the insurance business when the settlement of account is fixed, such liability reserve funds appropriated shall be included in deductible expenses for the purpose of calculating the amount of income for the relevant business year up to the amount calculated, as prescribed by Presidential Decree. <Amended on Dec. 24, 2018; Dec. 31, 2022>
(2) The liability reserve funds included in deductible expenses under paragraph (1) shall be included in gross income when the amount of income for the following business year or for the business year, to which the date three years (where grounds prescribed by Presidential Decree, such as a dissolution, occur before three years pass, the date the relevant grounds arise) from the end date of the business year in which the liability reserve funds were included in deductible expenses falls, is calculated, as prescribed by Presidential Decree. <Amended on Dec. 24, 2018>
(3) Where the liability reserve funds are included in gross income for the business year, to which the date three years from the end date of the business year in which the date the liability reserve funds were included in deductible expenses falls, as prescribed in paragraph (2), an amount equivalent to interest calculated, as prescribed by Presidential Decree, shall be added to corporate tax to be paid in the relevant business year. <Amended on Dec. 24, 2018>
(4) A domestic corporation which intends to apply paragraph (1) shall submit a detailed statement on the relevant reserve funds to the head of the tax office having jurisdiction over the place of tax payment, as prescribed by Presidential Decree. <Amended on Dec. 24, 2018>[This Article Wholly Amended on Dec. 30, 2010][Title Amended on Dec. 24, 2018]