Corporate Tax Act — Article 50-2 (Restriction on deduction of losses carried over in case of business acquisition)

Where a domestic corporation acquires a business of another domestic corporation, as prescribed by Presidential Decree, the amount of losses referred to in Article 13 (1) 1 as of the date of acquisition of the business shall not be deducted to the extent of the amount of income accruing from the acquired business sector (where the accounting is not recorded separately under the proviso of Article 113 (7), it shall be the amount gained by dividing the amount of income by the percentage of the value of assets prescribed by Presidential Decree) for the purpose of calculating the tax base for each business year of the domestic corporation that has acquired the business.[This Article Added on Dec. 21, 2021]