- The South Korean National Assembly is considering Bill No. 2215329 to amend the Special Tax Measures Act.
- The bill proposes expanding the 9.1% used car input VAT deduction rate to scrapped vehicles for export, for certain businesses.
- It sets a 7.4% input VAT deduction rate for scrapped vehicles not for export for these businesses.
- The changes apply to businesses collecting recyclable waste resources and used vehicles, when acquiring from individuals or entities unable to issue VAT invoices.
- The law would take effect six months after promulgation and apply to scrapped vehicles acquired after that date.
Source: news.bloombergtax.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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