Automobile taxes to fall next year

From the latter half of next year, taxes for automobiles that were registered in the early half of 1990 will fall by 50%. Taxes for cars that were registered in 1995 and the first half of 1997 will see a decline of 25% and 15%, respectively.

The Ministry of Administration expects an enforcement ordinance for the regional tax bill, which was cleared during a recent National Assembly session, will be passed by Friday. This ordinance will decrease car taxes by 5% every year after the third year and hence after 12 years, car taxes will be 50% lower. Specific regulations regarding the differentiated car tax system for the calculation of taxes will be provided by late next year.

According to the ordinance, for cars registered in the first part of the year, the period from January to December will be considered as 1 year and for cars registered in the latter half, 1 year will be regarded as from July to June. Henceforth, taxes on a Sonata 2.0 registered in 1990 will fall from 199,700 won to 99,850 won from the latter half of next year. Taxes for cars registered in the first half of 1995 will fall 25% to 149,775 won while those for cars registered in the first half of 1997 will fall by 15% to 169,745 won.