EV Excise Tax Phase-Out Timeline
See how much more you pay depending on when you buy.
2026 reform bill — hybrid exemption ends, EV/FCEV phased down
Hybrid excise exemptions end after 2026; EV and hydrogen vehicle caps shrink in 2027-2028 and end in 2029. The schedule may change during legislation.
🚗 Vehicle type
💵 Vehicle price
Excise tax applies to the factory price, not the retail price. Check the tax base on your quote.
📅 Purchase year
🧾 Tax
Total tax if purchased in 2026
4,500,000원
3,217,500원 saved by the exemption
- Excise tax
- 0원
- Education tax (30% of excise)
- 0원
- VAT (10%)
- 4,500,000원
When the exemption ends in 2029, you will pay 3,217,500원 more than now.
Year-by-year
20264,500,000원
Cap 300만원
20274,857,500원
Cap 200만원
20286,287,500원
Cap 100만원
20297,717,500원
No exemption
20307,717,500원
No exemption
Basis
- 2026 tax reform bill — eco-vehicle excise exemption phase-out
- Structure — excise = factory price × 5%; education tax = excise × 30%; VAT = (price + excise + education) × 10%
- Hybrid — exemption ends after 2026
- EV/FCEV — caps reduced 2027-2028, ending 2029
- Separate from subsidies — Ministry of Environment and local EV subsidies are a different scheme
※ Based on the pre-passage bill; schedule and caps may change. Actual tax varies by model, options, and sales terms.
Last updated 2026-09-05