(1) Where an insurance company defined in the Insurance Business Act (hereinafter referred to as "insurance company") accumulates the reserves for surrender value (referring to the amount accumulated by an insurance company as prescribed by Presidential Decree in preparation for the cancellation, etc. of insurance contracts; hereafter the same shall apply in this Article) when disposing of profits for the relevant business year, and appropriates such amount in a tax adjustment statement referred to in Article 60 (2) 2, it shall be deemed that such amount is appropriated as deductible expenses when finalizing the settlement of accounts, and such amount shall be included in deductible expenses in calculating the income for the relevant business year. <Amended on Dec. 31, 2024>
(2) Any insurance company that intends to be governed by paragraph (1) shall submit a detailed statement on surrender value reserves to the head of a tax office having jurisdiction over the place of tax payment, as prescribed by Presidential Decree.
(3) Matters necessary for including surrender value reserves in deductible expenses under paragraph (1) and treating the relevant amount shall be prescribed by Presidential Decree.[This Article Added on Dec. 31, 2022]