Photo : YONHAP News
The government has decided to maintain fuel tax cuts for two more months, until the end of the year, but to adjust the amounts so the consumer pays more than now.
The finance ministry announced on Wednesday that the current 20 percent tax cut on gasoline will be adjusted to 15 percent and the 30 percent discount on diesel and liquefied petroleum gas will be reduced to 23 percent, starting in November.
As a result, the tax on gasoline will rise by 42 won to 698 won per liter and the tax on diesel will increase by 41 won to 448 won per liter.
The ministry said it considered oil prices, inflation and the country’s finances in making the decision, adding that it limited the adjustments to prevent a significant increase in fuel costs.
South Korea started to offer oil tax breaks in November 2021 to help people cope with the high cost of living.
They were supposed to be temporary but have been extended several times, with modifications.