ACT ON DESIGNATION AND MANAGEMENT OF CUSTOMS-FREE ZONES FOR BUILDING INTERNATIONAL LOGISTICS CENTERS

CHAPTER Ⅰ GENERAL PROVISIONS

Article 1(Purpose) #

The purpose of this Act is to contribute to the sound development of the national economy by designating and managing any specific area on which an airport or harbor, etc. is centered, as a customs-free zone in order to promote the flow of international cargoes and developing it into an international logistics center.

Article 2(Definitions) #

The definitions of terms used in this Act shall be as follows: <Amended by Act No. 6305, Dec. 29, 2000>

1. The term “customs-free zone” means a zone designated pursuant to the provisions of Article 4, in which any entering or leaving goods or rendered services are granted exceptions to various tax-related Acts, including the Customs Act, the Value-Added Tax Act, the Special Consumption Tax Act and the Liquor Tax Act;

2. The term “customs territory” means parts of the domestic territory other than customs-free zones;

3. The term “authorized manager” means a person who manages any area falling under any of items of subparagraph 1 of Article 5 in accordance with the relevant Acts and subordinate statutes, such as the Act on the Promotion of a New Airport Construction in Seoul Metropolitan Area, the Aviation Act, the New Harbor Construction Promotion Act, the Harbor Act, the Promotion of Distribution Complex Development Act and the Goods Distribution Promotion Act, etc., and also per forms the duties of concluding contracts on the occupancy with those who intend to move into such areas, maintaining, repairing and improving pubic sites and facilities therein;

4. The term “registered entity” means a person who has, under the provisions of Article 11 (1), registered any business which falls under any of the following items (hereinafter referred to as the “registered business”) in order to conduct it in a customs-free zone:

(a) The loading, unloading, transportation, storage, exhibition, sale or processing of goods (limited to such kinds of simple processing as the Minister of Finance and Economy determines in consultations with the Minister of Commerce, Industry and Energy; hereinafter the same shall apply);

(b) Repair of goods (limited to such kinds as determined by the Ordinance of the Ministry of Finance and Economy; hereinafter the same shall apply); and

ACT ON DESIGNATION AND MANAGEMENT OF CUSTOMS-FREE ZONES FOR BUILDING INTERNATIONAL LOGISTICS CENTERS

Article 1(Purpose) #

Article 2(Definitions) #

Article 3(Relation with Customs Act) #

Article 4(Designation of Customs-Free Zone) #

Article 5(Requirements for Designation) #

Article 6(Alterations to Customs-Free Zone, etc.) #

Article 7(Designation of Prearranged Zone) #

Article 8(Measures for Bonded Area) #

Article 9(Maintenance, Management of Control Facilities) #

Article 10(Occupancy Qualification) #

Article 11(Registration of Business, etc.) #

Article 12(Suspension of Business, etc.) #

Article 13(Cancellation of Registration) #

Article 14(Hearing) #

Article 15(Restrictions on Rent or Transfer of Building, etc.) #

Article 16(Special Case for Builder of Building, etc.) #

Article 17(Carriage of Goods into Customs-Free Zone) #

Article 18(Overseas Carriage of Goods) #

Article 19(Carriage of Goods into Customs Territory) #

Article 20(Destruction of Goods) #

Article 21(Outward Carriage of Samples) #

Article 22(Out-of-Zone Work) #

Article 23(Bonded Transportation) #

Article 24(Stock Records, etc.) #

Article 25(Inspection of State of Stock Management of Registered Entities) #

Article 26(Prohibition of Inward or Outward Carriage of Goods) #

Article 27(Prevention of Outflow of Foreign Goods, etc.) #

Article 28(Use or Consumption of Foreign Goods, etc.) #

Article 29(Imposition of Customs Duties on Goods Processed or Repaired) #

Article 30(Exemption or Refund of Custom Duties, etc.) #

Article 31(Application of Zero Tax Rate of Value-Added Tax) #

Article 32(Reduction or Exemption of Corporate Tax, etc.) #

Article 33(Reduction or Exemption of Rents) #

Article 34(Customs-Free Zone Committee) #

Article 35(Delegation of Authority) #

Article 36(Penal Provisions) #

Article 37(Penal Provisions) #

Article 38(Penal Provisions) #

Article 39(Penal Provisions) #

Article 40(Penal Provisions) #

Article 41(Attempt to Commit Offense, etc.) #

Article 42(Confiscation of Transportation Means for Exclusive Use of Smuggling) #

Article 43(Confiscation of Goods Offered for Offence, etc.) #

Article 44(Crime of Acquiring Smuggled Goods, etc.) #

Article 45(Concurrent Imposition of Imprisonment and Fine) #

Article 46(Confiscation or Additional Collection) #

Article 47(Joint Penal Provisions, etc.) #

Article 48(Inspection and Disposition) #

Article 49(Fine for Negligence) #