Korea's automobile tax is normally billed twice — in June and December. But paying the whole year upfront earns a discount, through a system called annual prepayment. Here's how much you save and when to apply.
The discount is proportional to the remaining period, so applying in January saves the most and it shrinks from there.
How much do you save?
The deduction is annual tax × (remaining days ÷ 365) × 5%. Converted to a share of the annual bill:
- January — about 4.6% (best)
- March — about 3.8%
- June — about 2.5%
- September — about 1.3% (last chance)
The discount used to be 10% years ago; the rate has been adjusted down since. Still, it's tens of thousands of won for a few clicks.
Application windows
- January (typically Jan 16–31) — prepay the full year
- March, June, September — prepay only the remaining period
For example, June prepayment covers the second installment (July–December) due in December — and the first installment billed in June must still be paid separately. That trips a lot of people up.
⚠️ It does not renew automatically. Prepaying last year means nothing this year — apply again. And if you apply but miss the payment deadline, it's cancelled and the normal June/December bills return.
How to apply and pay
- Wetax (wetax.go.kr), or Etax in Seoul. Mobile apps, phone and district offices also work.
- Log in with simple authentication and use the automobile tax prepayment menu.
- Local taxes carry no credit-card fee, so card interest-free or cashback promotions add to the saving.
What if you sell the car?
Sell or scrap it after prepaying and you're refunded for the period after the transfer or scrapping date. Prepaying doesn't cost you.
How the tax is set
- Passenger cars are taxed by engine displacement — bigger engine, bigger bill.
- The amount declines with vehicle age.
- EVs and hydrogen cars have no displacement, so separate rules apply — but the prepayment discount works the same.
Note that the one-time acquisition tax when buying a car is an entirely different tax, covered in the car acquisition tax guide.
FAQ
Is prepaying always worth it?
Usually, though it does mean paying earlier. A ~4% saving compares well with current deposit rates.
Can I still apply in July?
If January, March and June have passed, September is the year's last window. The smallest discount still beats none.
I never received a bill.
Look it up on Wetax. The obligation stands whether or not the notice arrived, and late payment adds penalties.
Is it billed with property tax?
No. Property tax falls in July and September; automobile tax in June and December. Both are local taxes and appear together on Wetax.
Prepayment is a one-click saving — just remember it resets every year.
This is general information, not tax advice. Rates and windows change annually — check Wetax and your local government's notices.
