Car Tax Calculator

Korean annual car tax from engine size, first registration date and use: vehicle-age reduction, local education tax, June/December bills and the prepayment discount

2026 rules

Vehicle

Type (passenger car)

Use

Engine size (cc)

Tax year

Vehicle age

First registered: year

Month

First registered in a later year than it was madeThen the age counts from 31 December of the model's production year (Motor Vehicle Management Act Enforcement Decree, Art. 3)

Age = tax year − start year + 1; if the start date falls in July–December, the first half-year counts one year less. From year 3 the tax drops 5% per year, up to 50% (private, engine-size-taxed cars only).

Payment

Prepay the whole year in

If the annual tax is 100,000 KRW or less, assume it is billed in full in JuneLocal governments may bill the full year with the first instalment, minus 5% of the second half (Local Tax Act Art. 128(4)).

Prepayment discount = tax for the days after the payment deadline to 31 Dec × 5%. Jan/Mar: annual tax × days left ÷ 365; Jun: second-half tax × 5%; Sep: second-half tax × days left ÷ 184 × 5%.

Change the rates 2026 rules

Private car, tax per cc (KRW)

≤ 1,000cc

≤ 1,600cc

> 1,600cc

Commercial car, tax per cc (KRW)

≤ 1,000cc

≤ 1,600cc

≤ 2,000cc

≤ 2,500cc

> 2,500cc

Other passenger cars (electric etc.) and more

Private, per year

Commercial, per year

Local surcharge (%)

Age reduction (%/yr)

Age cap (years)

Local education tax (%)

Prepayment rate (%)

June lump-sum ceiling (KRW)

Defaults are Korea's 2026 rules: Local Tax Act Art. 127 (per-cc rates, other passenger cars, age reduction; a local ordinance may raise the standard rate by up to 50%), Art. 151(1)7 (education tax 30%), Art. 128(3)(4) and Enforcement Decree Art. 125(6) (5% rate for prepayment and lump-sum billing, amended 31 Dec 2024). The prepayment rate has changed with decree amendments (7% in 2023, 5% in 2024–2026), so check the amount shown on WETAX before you pay.

Total paid for the year

0KRW

June bill0

December bill0

Age (1st / 2nd half)-

Saved (prepay / lump sum)0

Breakdown
Standard annual tax	0
Age reduction	0
Car tax for the year	0
Local education tax	0
Total on regular bills (Jun + Dec)	0
Prepay / lump-sum discount (car tax)	0
Education tax reduced by30% of the discounted car tax	0
Amount actually paid	0

A reference estimate under Korea's Local Tax Act, not tax advice. Your real bill comes from your city/county/district office or WETAX (wetax.go.kr). Not covered: day-based proration for new registration, deregistration or transfer mid-year, quarterly instalments, exemptions (disability, national merit etc.), buses, trucks, special vehicles and motorcycles. Amounts under 10 KRW are dropped on each bill (Framework Act on Local Taxes Art. 59, applying the National Treasury Management Act Art. 47).

What this tool does

Enter engine size, first registration date and whether the car is private or commercial to get Korea's 2026 annual car tax, the vehicle-age reduction, the local education tax and the June/December bills, plus the discount and amount paid if you prepay the year in January, March, June or September. Electric and hydrogen cars ("other passenger cars" with no engine size) are supported. Every rate, reduction and the prepayment rate can be changed under "Change the rates". These are Korean rules.

How it is calculated

Annual car tax = engine size × tax per cc (Local Tax Act Art. 127). For private passenger cars it is 80 KRW up to 1,000cc, 140 KRW up to 1,600cc and 200 KRW above; the whole displacement is multiplied by its band's rate, not progressively. Commercial cars pay 18 KRW (up to 1,600cc), 19 KRW (up to 2,500cc) or 24 KRW; electric and other passenger cars pay a flat 100,000 KRW (private) or 20,000 KRW (commercial). From the third year, each half-year bill of a private car = annual/2 − annual/2 × 5% × (age − 2), with age capped at 12, so the reduction tops out at 50%. Local education tax is 30% of the car tax on private passenger cars. The prepayment discount is the tax for the days after the payment deadline to 31 December × 5% (Enforcement Decree Art. 125(6)), and each bill drops amounts under 10 KRW. Example (the page's default): a private 1,998cc car first registered in March 2021 is 6 years old in 2026, a 20% reduction. Standard tax 399,600 KRW → 159,840 per half, 319,680 for the year, education tax 95,900 (47,950 per half), so June and December bills are 207,790 each, 415,580 in total. Prepaying in January gives a discount of 319,680 × 334/365 × 5% ≈ 14,626, so you pay 305,050 car tax + 91,510 education tax = 396,560 KRW, 19,020 less than the regular bills.

Annual tax: private 1,998cc × 200 = 399,600 KRW / 1,000cc light car × 80 = 80,000 KRW / 1,598cc × 140 = 223,720 KRW

Age: if the start date (first registration in the production year, otherwise 31 Dec of the production year) is in Jan–Jun, age = tax year − start year + 1

If the start date is in Jul–Dec, the first half uses tax year − start year and the second half adds 1. E.g. 1,598cc registered Sep 2023 → 2026 first half age 3 (5%) 106,260 KRW, second half age 4 (10%) 100,670 KRW

Education tax = each half's car tax × 30% (none for commercial cars). Private electric car: 100,000 + 30,000 = 130,000 KRW

Prepayment discount: Jan = annual × 334/365 × 5% (about 4.58%), Mar = annual × 275/365 × 5% (about 3.77%), Jun = second half × 5%, Sep = second half × 92/184 × 5%

If the annual tax is 100,000 KRW or less, the local office may bill it all in June, minus 5% of the second half. Private electric car: 97,500 + 29,250 education tax = 126,750 KRW

Things to know

The age reduction applies only to private cars taxed by engine size (petrol, diesel, LPG, hybrid). Electric and hydrogen cars pay a flat amount that never drops, and commercial cars get no reduction.

Hybrids are taxed by engine size, not as "other passenger cars"; under Enforcement Decree Art. 123 that category means electric, solar and alcohol-powered cars.

The prepayment rate is set by decree and has moved from 7% (2023) to 5% (2024–2026). It can change again, so update "Prepayment rate" in the rates panel for the year you are checking.

The earlier you prepay, the larger the discount: January (16–31) is largest, September smallest. Many local offices send a prepayment bill every January once you have prepaid.

If you sell or scrap the car after prepaying, the tax for the remaining period is refunded. Cars bought mid-year are prorated by days owned; this calculator assumes a full year.

A local ordinance may raise the standard rate by up to 50% (Art. 127(3)). If your bill differs, check the "Local surcharge" field.

Frequently asked questions

How is vehicle age counted?

Under Enforcement Decree Art. 122 it counts from the start date in the Motor Vehicle Management Act decree. If that date is in January–June, age = tax year − start year + 1 for both halves; if it is in July–December, the first half counts one year less. A car not registered in its production year starts on 31 December of that year.

How much is the car tax on an electric car?

Electric cars are "other passenger cars": 100,000 KRW a year if private, 20,000 KRW if commercial. Private ones add 30% education tax for 130,000 KRW, with no age reduction. If billed in full in June (allowed for tax of 100,000 KRW or less), 5% of the second half comes off: 126,750 KRW.

How much does prepaying save?

At the 2026 rate of 5%: about 4.58% of the annual tax in January, about 3.77% in March, 5% of the second half (about 2.5% of the year) in June and 2.5% of the second half (about 1.25%) in September. Education tax is recalculated as 30% of the reduced car tax, so it falls too.

Why does my bill differ slightly?

This calculator assumes a full year of ownership and drops amounts under 10 KRW on each bill. Day-based proration for registration, transfer or deregistration, exemptions (disability, national merit etc.) and local rate differences change the real bill. Check WETAX or your local office.

Do commercial cars pay local education tax?

No. Under Local Tax Act Art. 150, education tax on car tax applies only to private passenger cars (engine-size and other passenger cars). Commercial passenger cars pay only the 18–24 KRW per cc car tax.