경차 유류세 환급제도As the government’s tax law amendment was passed in December 2023, the deadline for applying light vehicle fuel tax refund under Article 11-2 (1) of the Restriction of Special Taxation Act was extended until December 31, 2026. In order to receive a light vehicle fuel tax refund, you must obtain a light vehicle fuel tax refund card to receive the benefit. Now, let’s check the conditions for issuing a light vehicle fuel tax refund card, the type of card, and the issuance method.
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This is a system that allows those who own a light passenger car or light van with an engine displacement of less than 1,000 cc to receive a fuel tax refund of up to 300,000 won per year when paying with a light vehicle fuel tax refund card. However, light trucks are not eligible for light vehicle fuel tax refund.
This system was introduced in 2008 and provided a refund of up to 100,000 won, which was later increased to 200,000 won in 2017 and 300,000 won from 2022. The deadline for applying for fuel tax refunds has been extended until December 31, 2026.
Article 112-2 of the Enforcement Decree of the Restriction of Special Taxation Act: Refund of individual consumption tax on automobile fuel applies to passenger cars or vans with an engine displacement of less than 1,000 cc and less than 3.6 meters in length, 1.6 meters in width, and 2.0 meters in height. It is clearly stated.
However, all requirements prescribed by Presidential Decree, such as the number of cars owned, must be met.
The table above was created to help you understand the conditions for issuing fuel tax refund cards. Please take note.
Owners who wish to receive a refund of fuel tax for light vehicles must obtain a fuel purchase card for refund from only one credit card issuer designated by the Commissioner of the National Tax Service pursuant to Article 111-2 of the Restriction of Special Taxation Act. The issued fuel purchase card is called a light vehicle fuel tax refund card.
With the fuel purchase card, the card company deducts the relevant refund amount (individual consumption tax) from the fuel payment amount and charges the card fee, so owners of compact cars do not need to apply for a separate refund.
Fuel purchase cards can only be issued by Lotte Card, Shinhan Card, and Hyundai Card. There is no annual fee for each card company, and the fuel tax refund amount is the same for all card companies, but additional benefits vary for each card company, so we recommend that you compare and select according to the owner’s consumption area.
Go to Lotte Card compact car smart online issuance
Shinhan Card Compact Car Love Life online issuance link
Hyundai Card M – Go directly to online issuance of compact car card (fuel tax refund)
Fuel purchase cards can be issued in three ways. First, when you apply for a fuel purchase card, the National Tax Service verifies whether the applicant is eligible for support and then the credit card company issues a fuel purchase card.
Apply for a card directly on the Lotte Card website
Go to the Shinhan Card website for simple application and online application.
Apply for a credit card directly on the Hyundai Card website
Apply for a check card directly on the Hyundai Card website
If it is registered as a light passenger vehicle or van with a capacity of less than 1,000cc on the vehicle registration certificate, it is eligible for support.
Even if you purchase a used compact car, you can still get a fuel purchase card.
This is possible if the decision is based on family members living together on the resident registration table and there is only one light vehicle per separated household. However, the conditions for household separation regarding address must be met. For example, if a child over the age of 30 has an income above the minimum cost of living, they can be viewed as forming a separate household by separating them into an independent household.
What are the registration tax and tax reduction benefits for new and used light vehicles in 2024?
What will be the first car tax in 2024? We recommend calculating the car tax together before purchasing.
Did you get a used car sales tax refund after selling your car?
Did you get a refund on your car insurance premium after selling your car?
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