Expansion of Agricultural Heating Equipment and Freight Vehicle Scope Eligible for Tax-Exempt Agricultural Diesel Fuel Supply

Starting from the 1st of next month, tax-free diesel fuel will be available for orchard frost prevention heaters.


The Ministry of Agriculture, Food and Rural Affairs announced on the 28th that, following the enforcement of the revised "Enforcement Rules on Special Cases for VAT Zero-Rating and Tax Exemption on Agricultural, Livestock, Forestry, and Fishery Equipment and Petroleum Products" on the 22nd, the scope of agricultural tax-free diesel fuel supply will be expanded to include agricultural heaters and cargo trucks starting April 1st.


Hot air circulation fan (reference photo)

Hot air circulation fan (reference photo)

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Currently, agricultural heaters are limited to greenhouses (including vinyl houses) and livestock use, but going forward, they will be expanded to include open-field use, greenhouse use, vinyl house use, and livestock use. The weight limit for agricultural cargo trucks will also be changed from the current 1 ton to up to 1.2 tons.


However, as before, cargo trucks not used for agricultural purposes?such as vehicles equipped with sleeping, cooking, or shower facilities, tanker trucks, tank lorries, and commercial vehicles?will not be eligible for tax-free diesel fuel.


The Ministry expects that with this expansion of tax-free diesel fuel supply, orchard farmers who have long suffered from damages caused by abnormal low temperatures and frost in spring will be able to use tax-free diesel fuel for open-field heating devices that help prevent damage, thereby reducing their management cost burden.


Additionally, considering the recent increase in cargo truck load capacities and diverse designs, the load capacity criteria will be expanded, and exclusion criteria based on vehicle types unrelated to agricultural use will be removed, allowing for a wider variety of cargo trucks to be used in agricultural fields.



Yoon Won-seup, Director of Agricultural Policy at the Ministry of Agriculture, Food and Rural Affairs, stated, "We hope that this improvement in the agricultural tax-free diesel fuel system will reduce frost damage to orchard farmers and provide more convenient farming operations to support farmers."


This content was produced with the assistance of AI translation services.

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