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Temporary Tax Break for Car Sales to be Extend Through Year's End

Written: 2019-06-27 13:29:33Updated: 2019-06-27 13:54:46

Temporary Tax Break for Car Sales to be Extend Through Year's End

Photo : YONHAP News

A temporary tax break that was put in place since last July to boost car sales will be extended for a second time for another six months until the end of the year. 

The Finance Ministry announced the decision on Thursday as it introduced 178 rules and regulations related to 30 government agencies that will be changed from the latter half of the year.  

It marks the second time the government has extended the tax relief for car sales by six months since it first did so by slashing the sales tax on domestic car purchases from five percent to three-and-a-half percent on July 19th of last year.  

As a result, consumers that buy a vehicle for some 20 million won before year’s end will be able to save around 430-thousand won in taxes.  

 Also on Thursday, the ministry announced that starting from next month, the amount of unemployment benefits and the period in which such benefits are provided will be expanded. 

Further, cash transfers will be given to households with children aged six and under beginning in September.

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