SD Biosensor, an in vitro diagnosis company, has been ordered to pay a penalty of 102.1 billion won ($76.1 million) due to a recent tax audit.

In a public filing Thursday, the company said that Central Reginal Tax Service imposed the penalty tax. The surcharge was the result of the tax audit for the 2017-2021 period, related to tax exemption and reduction benefits related to its factory relocation.

SD Biosensor must pay the surcharge until June 30.

According to the company, the regional tax office judged it inappropriate that SD Biosensor got tax cuts for its factory relocation to a provincial area. The company moved its plant to Cheongju, North Chungcheong Province, in 2013 and has received tax exemption and reduction benefits for revenues generated in the new plant.

However, the company expressed its position that the penalty tax imposition is unfair, saying it would go through the process of an administrative objection.

There are differences between the company and the regional tax authorities in interpreting the application of tax credits for revenues generated in the relocated plant,” a company official said.

The official emphasized that the company has faithfully made tax reports and payments every year and has a different opinion from the central regional tax office.

“We will pay the penalty within the deadline and exercise taxpayers’ rights prescribed by law to push ahead with the due process of appeal,” the official added.