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Fuel Prices Rise as Govt Begins Phase-out of Tax Cuts

Written: 2019-05-07 09:54:55Updated: 2019-05-07 19:17:15

Photo : KBS News

Gas prices rose on Tuesday as the government partially reversed a 15 percent temporary fuel tax cut that went into effect last November.

The fuel tax discount has been reduced to seven percent, which translates to per liter increases of 65 won for gasoline, 46 won for diesel and 16 won for liquefied petroleum gas.

The tax cut was supposed to be fully lifted on Tuesday, but the government decided in April to extend it by four months until the end of August to help out small businesses and consumers.

The four-month partial extension of the fuel tax cut is expected to save taxpayers an additional 600 billion won before the tax rate is fully restored on September first.

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