Tesla Acquisition Tax Regulation is Difficult... "Joint Ministry Countermeasures Needed"
[Asia Economy Reporter Moon Chaeseok] It has been confirmed that it is difficult to impose acquisition tax on Tesla's driving assistance features under current law. There is controversy over fairness because if the feature is added as an option after purchasing the car, the acquisition tax of 7% of the car price is not levied.
According to related government departments on the 18th, acquisition tax related to Tesla's Full Self Driving Capability (FSD) is found to have no proper basis for imposition under the current Automobile Management Act.
According to Article 47 of the Automobile Management Act, when exchanging or refunding and replacing with a new car, acquisition tax is considered paid at the time of purchasing the defective car. There are no provisions regarding option additions or online sales.
An official from the Ministry of the Interior and Safety, the main department in charge of the Acquisition Tax Act, explained, "Under current law, it is difficult to consider the imposition of acquisition tax based on the purchase form of Tesla FSD as subject to legal application," and "It is hard to see grounds for imposing acquisition tax depending on option purchase form."
The issues include ▲ fairness between consumers who purchase all options when buying the car and those who did not pay acquisition tax ▲ demands for corrective measures from Tesla ▲ and the lack of a proper government department to draw clear conclusions on whether acquisition tax will be imposed when options are added after purchase.
Experts point out that if the Ministry of the Interior and Safety alone, as the main department, finds it difficult to change regulations due to controversy over a specific brand, a clear countermeasure should be presented to the market through consultation with related departments.
Kim Pilsoo, president of the Korea Electric Vehicle Association, said, "Only the government can organize so that the same acquisition tax is paid whether options are included when buying the car or added afterward," and added, "To prevent such issues from recurring, the Ministry of the Interior and Safety, the Ministry of Environment managing subsidies, and the Ministry of Economy and Finance overseeing tax policy should consult and prepare joint measures."
Besides the acquisition tax controversy, Tesla has been criticized for excessively receiving subsidies and individual consumption tax reduction benefits.
According to the "Monthly Domestic Automobile Industry Trends for the First Half and June" announced by the Ministry of Trade, Industry and Energy on the 14th, Tesla sold 2,827 units last month in Korea, an increase of 2,236.4% compared to the same period last year.
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For the entire first half, sales increased by 1,577.5% year-on-year to 7,079 units. It is expected to easily achieve sales of 10,000 units this year. Tesla is estimated to have received about 100 billion KRW in subsidies in the first half.
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