Article 1(Purpose) #
The purpose of this Act is to secure financial resources required for the business to expand traffic facilities, such as roads and city railroads, and to foster public traffic infrastructure, the business related to energy and resources, and the business for preservation and improvement of environment.
[This Article Wholly Amended on Dec. 30, 2006]
Article 2(Taxable articles and tax rate) #
(1) Objects subject to the traffic, energy, and environment tax (hereinafter referred to as "taxable articles") and their tax rates shall be as follows: <Amended on Dec. 29, 1995; Jan. 8, 1998; Sep. 16, 1998; Dec. 29, 2000; Dec. 30, 2003; Dec. 30, 2006; Sep. 26, 2008; Dec. 31, 2018>
1. Gasoline and alternative petroleum products similar thereto:
475 won per liter;
2. Light oil and alternative petroleum products similar thereto:
340 won per liter.
(2) Detailed list of taxable articles and kinds thereof shall be prescribed by Presidential Decree.
(3) For the purpose of the efficient operation of the national economy, the tax rates under paragraph (1) may be adjusted within the limit of 30/100 (50/100 until December 31, 2024) of the tax rates by Presidential Decree, if necessary to provide financial resources required for the business related to the expansion of traffic facilities and fostering public transport infrastructure, energy and other resources, and environmental conservation and improvement, and support business to cope with oil price fluctuations, and if necessary to meet the supply of and demand for the relevant articles. <Amended on Sep. 26, 2008; Aug. 12; 2022>
(4) Determination of taxable articles shall be made by the shape, use, properties, and other important characteristics of the articles concerned regardless of the name thereof.
(5) Where a taxable article is included in not less than two categories under paragraphs (1) and (2), the applicable category of the taxable article shall be determined by its characteristics. Where the characteristics are not clear, it shall be determined by its major use. Where neither the characteristics nor the major use is clear, it shall be determined as the category to which higher tax rate is applied.
(6) Matters necessary for determination of taxable article not mentioned under paragraphs (4) and (5) shall be prescribed by Presidential Decree.
Article 3(Taxpayer) #
A person who falls under any of the following subparagraphs shall pay the traffic, energy and environment tax under this Act: <Amended on Jul. 8, 2005; Dec. 30, 2006; Dec. 31, 2011; Dec. 31, 2018>
1. A person who manufactures taxable articles and ships them out;
2. A person who ships taxable article out from a bonded area under the Customs Act (hereinafter referred to as "bonded area") (referring to a person who is liable to pay customs under the Customs Act; hereinafter the same shall apply);
3. With regard to the articles on which customs are imposed, other than cases under subparagraph 2, a person who is liable to pay such customs.
Article 4(Timing for taxation) #
The traffic, energy, and environment tax shall be levied at the time of release of taxable articles from a manufacturing place or at the time of import declaration thereof; provided, the articles under subparagraph 3 of Article 3 shall be subject to the Customs Act. <Amended on Jul. 8, 2005; Dec. 30, 2006>
Article 5(Cases considered as manufacture) #
(1) In cases of processing by adding additive, etc. in order to improve and add values to taxable articles in places other than a manufacturing place, for the purpose of sale, it shall be considered as manufacturing of the articles concerned.
(2) Where a taxable article falls under any of the following subparagraphs, it shall be considered to have been shipped out from a manufacturing place:
1. Where it is used or consumed in the manufacturing place; provided, such case which falls under cases prescribed by Presidential Decree shall be excluded;
2. Where its remainder in the manufacturing place is realized by way of public sale, auction, or bankruptcy proceedings;
3. Where it remains in the manufacturing place after the de facto discontinuance of manufacturing thereof; provided, such case which falls under cases prescribed by Presidential Decree and obtain approval from the chief of the competent tax office shall be excluded.
Article 6(Tax base) #
(1) A tax base for traffic, energy, and environment tax shall be determined pursuant to each of the following subparagraphs: <Amended on Dec. 29, 2000; Dec. 30, 2006>
1. Where a taxpayer under subparagraph 1 of Article 3 manufactures articles and ships them out, the quantity of articles at the time they are shipped out from a manufacturing place; provided, the quantity of the articles provided for in Article 2 (1) 1 shall be the quantity obtained by deducting therefrom such quantity as is computed by multiplying the quantity when shipped out from the manufacturing place, by the rate prescribed by Presidential Decree in view of the extent of their natural decrease due to vaporization, etc. in the process of release and storage from the time they are shipped out from the manufacturing place to the time they are sold to consumers;
2. Where a taxpayer under subparagraph 2 of Article 3 ships articles out from an bonded area, the quantity of the articles at the time of import declaration thereof; provided, in cases of articles under Article 2 (1) 1, the proviso to subparagraph 1 shall be applied mutatis mutandis;
3. In cases of articles under subparagraph 3 of Article 3, the quantity of the articles at the time of collection of customs thereof.
(2) Deleted. <Dec. 29, 2000>
(3) Matters necessary for quantity calculation of the tax base shall be prescribed by Presidential Decree. <Amended on Dec. 29, 2000>
Article 7(Report of tax base) #
(1) Taxpayers referred to in subparagraph 1 of Article 3 shall submit a report describing matters concerning articles shipped out from a manufacturing place every month, such as a quantity and price per article, calculated tax amount, overdue tax amount, exempted tax amount, deducted tax amount, tax refund amount, and tax amount due, to the chief of the tax office having jurisdiction over the manufacturing place by the end of every following month.
(2) When a taxpayer under subparagraph 2 of Article 3 has filed an import declaration with the head of the customs office having jurisdiction over a bonded area, he or she shall be considered as having declared as prescribed in paragraph (1).
(3) As for a taxpayer as set forth in subparagraph 3 of Article 3, the provisions of the Customs Act shall apply mutatis mutandis. <Amended on Jul. 8, 2005>
(4) Deleted. <Dec. 31, 2011>
(5) Necessary matters concerning report of the tax base under paragraphs (1) and (2) shall be prescribed by Presidential Decree. <Amended on Dec. 31, 2011>
Article 8(Payment) #
(1) Taxpayers under subparagraph 1 of Article 3 shall pay the traffic, energy, and environment tax every month within the period of the submission of the report pursuant to Article 7 (1). <Amended on Dec. 30, 2006; Dec. 31, 2011>
(2) With regard to the payment of traffic, energy, and environment tax by taxpayers under subparagraphs 2 and 3 of Article 3, the Customs Act shall apply. <Amended on Jul. 8, 2005; Dec. 30, 2006>
(3) Persons who intend to ship taxable articles out from a bonded area before the acceptance of import declaration as prescribed by the Customs Act shall provide security amounting to the appropriate traffic, energy, and environment tax amount, as prescribed by the Customs Act. <Amended on Jul. 8, 2005; Dec. 30, 2006>
Article 8-2(Return and payment of tax by business unit) #
Notwithstanding Article 7 (1), an entrepreneur who has filed a report by business unit under Article 18 (3) (hereinafter referred to as "taxable entrepreneur by business unit") may consolidate his or her tax returns for different places of business into his or her headquarters or main office to collectively file a single tax return and pay tax. In such cases, the headquarters or main office of such entrepreneur shall be deemed a manufacturing place when this Act applies in connection with the return and payment of the tax.
[This Article Added on Dec. 27, 2010]
Article 8-3(Special cases concerning blend of different petroleum products at oil reservoirs) #
Where any event prescribed by Presidential Decree occurs, including where different types of petroleum products are blended at an oil reservoir (hereafter in this Article referred to as "blended oil, etc.") when a taxpayer under subparagraph 1 or 2 of Article 3 (hereinafter in this Article and Article 11 referred to as "manufacturer, etc.") ships taxable articles out of the manufacturing place of the relevant manufacturer, etc. or a bonded area by any means of transportation, such as oil pipelines, vessels, or tank lorries under the Oil Pipeline Safety Control Act, and ships such articles out again from such oil reservoir owned or leased by the manufacturer, etc., this Act shall apply according to the following classifications: <Amended on Jan. 1, 2013>
1. Taxpayer: The manufacturer, etc., notwithstanding subparagraph 1 of Article 3;
2. Time of taxation: The time of occurrence of blended oil, etc., notwithstanding Article 4;
3. Tax base: The volume at the time of occurrence of blended oil, etc., notwithstanding Article 6 (1) 1.
[This Article Added on Dec. 31, 2011]
Article 9(Determination, decision of rectification, and re-rectification) #
(1) In case of failure to submit the report under Article 7 or of any error or omission therein, either the chief of the competent district tax office, the head of the competent regional tax office, or the head of the competent customs office shall determine or decide to rectify such tax base and tax amount. <Amended on Dec. 31, 2011>
(2) Determination or decision of rectification under paragraph (1) shall be based on an account book or other evidential matters; provided, such decision may be made by estimation in accordance with Presidential Decree where there is any reason falling under any of the following subparagraphs: <Amended on Dec. 31, 2011>
1. Where an account book or other evidential matters necessary for calculating the tax base do not exist, or any important part thereof is not prepared;
2. Where the details of an account book or other evidential matters are obviously false, considering the size of facilities, the number of employees, the market values of raw materials, merchandise, products, various types of charges, etc.;
3. Where the details of an account book or other evidential matters are obviously false, considering the usage amount of raw material or power or other operating conditions.
(3) The chief of the competent district tax office, the head of the competent regional tax office, or the head of the competent customs office shall rectify any error or omission that is found in the tax base and tax amount decided or decided to be rectified under paragraphs (1) and (2). <Added on Dec. 31, 2011>
[Title Amended on Jul. 31, 2018]
Article 10(Occasional taxation) #
When it is deemed that there is any concern that a taxpayer may evade the traffic, energy, and environment tax or when a taxpayer temporarily closes or permanently closes down his or her business because of the business slowdown, etc., such tax base and tax amount may be determined occasionally, notwithstanding Article 7. In such cases, Article 9 (2) shall apply mutatis mutandis. <Amended on Dec. 30, 2006>
Article 11(Special cases concerning taxation for sellers of fake petroleum products) #
(1) Notwithstanding Articles 3 and 4, the traffic, energy, and environment taxes may be collected from a person who falls under any of the following subparagraphs (hereinafter referred to as "sellers, etc."): <Amended on Dec. 31, 2019; Dec. 31, 2024>
1. A person who sells or keeps any of the following goods for sale:
a. Fake petroleum products under subparagraph 10 of Article 2 of the Petroleum and Alternative Fuel Business Act;
b. Taxable Goods supplied (excluding cases falling under Article 33 (1) of the Value-Added Tax Act) without a tax invoice under Article 32 of the Value-Added Tax Act or an invoice under Article 163 of the Income Tax Act or Article 121 of the Corporate Tax Act;
2. A person who sells kerosene, secondary fuel oil, or solvent as fuel for the following motor vehicles or machinery fueled by light oil:
a. Motor vehicles defined in subparagraph 1 of Article 2 of the Motor Vehicle Management Act;
b. Construction machinery defined in Article 2 (1) 1 of the Construction Machinery Management Act;
c. Agricultural machinery defined in subparagraph 1 of Article 2 of the Agricultural Mechanization Promotion Act;
d. Automobiles that are munitions defined in Article 2 of the Act on the Management of Military Supplies;
(2) Where the traffic, energy and environment taxes are collected from any of the following parties under the following subparagraphs, they shall not be collected from the other party: <Amended on Dec. 31, 2024>
1. Where the traffic, energy, and environment taxes are collected from the manufacturers, etc. under Articles 3 and 4;
2. Where the traffic, energy, and environment taxes are collected from an importer or a transferee under Articles 13 through 15;
3. Where the traffic, energy, and environment taxes are collected from the sellers, etc. under paragraph (1).
(3) Where the traffic, energy, and environment taxes are collected from sellers, etc. under paragraph (1), the tax base shall be the volumes categorized as follows, notwithstanding Article 6: <Amended on Dec. 31, 2019>
1. In cases falling under paragraph (1) 1: The aggregate of sales and storage volumes;
Article 12(Release of articles without tax payment) #
(1) With respect to the articles falling under any of the following subparagraphs, the traffic, energy, and environment tax shall not be collected when approval therefor has been obtained from the chief of the competent tax office or the head of the competent customs office, as prescribed by Presidential Decree: <Amended on Dec. 30, 2006>
1. Where the articles to be exported are shipped out into another place;
2. Where the articles manufactured upon the supply of raw materials or simply under the processing contract for commission are shipped out from a manufacturing place into the warehouse of the consignor;
3. Where the taxable articles are shipped out from a manufacturing place or shipped back into the relevant manufacturing place to undergo a specification examination at any place other than the manufacturing place;
4. Where the articles brought in, which are subject to the provisions under subparagraphs 1 and 2, Article 13 (1), 14 (1), 15 (1), or 16, are not offered for the relevant use due to poor quality or other reasons and then are returned to a manufacturing place;
5. Where the release of the articles prescribed by Presidential Decree is allowed because it is regarded as having no trouble to securing the traffic, energy, and environment tax or to other regulations.
(2) Persons who ship articles out or declare the import of articles to be subject to the provisions of paragraph (1), shall prove the facts that the relevant articles were brought into the place of entry or that the articles concerned have been offered for the stated use, as prescribed by Presidential Decree, and, if such facts are not proven, the traffic, energy, and environment tax shall be collected from persons who ship such articles out or declare the import of such articles. <Amended on Dec. 30, 2006>
(3) Where the articles under paragraph (1) are destroyed or lost because of a disaster or other unavoidable reasons before they are brought into the place of entry, the traffic, energy, and environment tax shall not be collected, as prescribed by Presidential Decree. <Amended on Dec. 30, 2006>
(4) With regard to the articles brought into the place of entry under paragraph (1), such place of entry shall be regarded as a manufacturing place and the person who brings such articles in shall be regarded as a manufacturer as prescribed by Article 3 and governed by the application of the provisions for taxation or exemption of the traffic, energy, and environment tax. <Amended on Dec. 30, 2006>
Article 13(Tax exemption for army supply and export) #
(1) With respect to the articles falling under any of the following subparagraphs, the traffic, energy, and environment tax shall be exempted where approval therefor has been obtained from the chief of the competent tax office or the head of the competent customs office, as prescribed by Presidential Decree: <Amended on Dec. 30, 2006; Dec. 31, 2018>
1. Articles to be exported;
2. Articles to be supplied to foreign armies stationed in Korea (hereinafter referred to as "foreign armies stationed in Korea").
(2) With respect to the articles referred to in paragraph (1), where it is not proven that such articles are offered for the stated use, as prescribed by Presidential Decree, the traffic, energy, and environment tax shall be collected from persons who ship such articles out or declare the import thereof. <Amended on Dec. 30, 2006>
(3) Where it is confirmed that the use of the articles for which the traffic, energy ,and environment tax was exempted under the provisions of para- graph (1) has changed, the traffic, energy, and environment tax shall immediately be collected, as prescribed by Presidential Decree. <Amended on Dec. 30, 2006>
(4) Where any of the reasons prescribed by Presidential Decree happens to persons who bring in the articles for which the traffic, energy, and environment tax was exempted under the provisions of paragraph (1) 1, the traffic, energy, and environment tax shall be collected from such persons. <Amended on Dec. 30, 2006>
(5) Where the articles for which the traffic, energy, and environment tax was exempted under the provisions of paragraph (1) 2 are transferred to others, the traffic, energy, and environment tax shall be collected from persons who take over those articles as such transferees are deemed to ship such articles out or to declare the import thereof. <Amended on Dec. 30, 2006>
(6) Article 12 (3) shall apply mutatis mutandis with regard to the articles that are shipped out under the condition of traffic, energy, and environment tax exemption under paragraph (1). <Amended on Dec. 30, 2006>
Article 14(Tax exemption for diplomats) #
(1) With regard to the articles to be used for motor vehicles owned by foreign missions in the Republic of Korea or other organizations with similar nature thereto as prescribed by Presidential Decree (hereinafter referred to as "foreign missions in Korea, etc.") and by foreign diplomats in the Republic of Korea or other persons with similar nature thereto as prescribed by Presidential Decree (hereinafter referred to as "foreign diplomats in Korea, etc."), the traffic, energy, and environment tax shall be exempted. <Amended on Dec. 27, 2010>
(2) The Minister of Foreign Affairs shall determine the maximum tax exemption amount for articles under paragraph (1) each year by not later than December 31 of the year before the relevant year, in consultation with the Minister of Strategy and Finance. <Added on Dec. 27, 2010; Mar. 23, 2013>
(3) Paragraph (1) shall apply only to the cases where Korean missions or diplomats, etc. in a country concerned are exempted from a tax of such country which is equivalent to the traffic, energy, and environment tax of Korea or other tax having nature similar thereto and where there does not exist in a country concerned a tax which is equivalent to the traffic, energy, and environment tax of Korea or other tax having nature similar thereto. <Added on Dec. 27, 2010>
(4) The provisions of Articles 12 (3) and 13 (5) shall apply mutatis mutandis with regard to the articles that are shipped out under the condition of traffic, energy, and environment tax exemption under paragraph (1). <Amended on Dec. 30, 2006; Dec. 27, 2010>
Article 15(Conditional tax exemption) #
(1) With respect to the articles falling under any of the following subparagraphs, the traffic, energy, and environment tax shall be exempted where approval therefor has been obtained from the head of the customs office or the chief of the tax office concerned, as prescribed by Presidential Decree: <Amended on Dec. 30, 2006>
1. Articles donated from abroad to the charity or relief organizations or associations for the purpose of charity or relief;
2. Articles shipped out from the bonded area for re-export, for which the customs are exempted;
3. Articles to be used as raw materials for medical care, medicine production, fertilizer production, agricultural chemical production, or petrochemical industry, or to be used for ships for the international routes, deep-sea fishery vessels or airplanes.
(2) With respect to the articles under paragraph (1), where it is not proven that they are brought into the place of entry as prescribed by Presidential Decree, the chief of the competent district tax office or the head of the competent customs office shall collect the traffic, energy, and environment tax from a person who ship such articles out or declare the import thereof, and where any reasons including changes of use of tax-exempted articles as prescribed by Presidential Decree occur after such articles are brought into the place of entry, a person who brings such articles in shall submit the report under Article 7 to the chief of the district tax office or the head of the customs office having jurisdiction over the place of entry, and pay the traffic, energy, and environment tax by the last day of the following month of the month to which the date on which such reasons occur belongs.<Amended on Dec. 30, 2006; Dec. 31, 2011>
(3) The provisions of Articles 12 (3) and (5) and 13 (4) shall apply mutatis mutandis with regard to the articles that are shipped out under the condition of traffic, energy, and environment tax exemption under paragraph (1). <Amended on Dec. 30, 2006>
(4) When the articles brought into the place of entry with the traffic, energy, and environment tax exemption under paragraph (1) are again shipped out to be offered for such uses as referred to in subparagraphs of that paragraph or subparagraphs of Article 16, the traffic, energy, and environment tax shall be exempted under paragraphs (1) through (3) and Article 16. <Amended on Dec. 30, 2006>
Article 16(Unconditional tax exemption) #
With respect to the articles falling under any of the following subparagraphs, the traffic, energy, and environment tax shall be exempted where approval therefor has been obtained from the chief of the tax office or the head of the customs office concerned, as prescribed by Presidential Decree: <Amended on Jul. 8, 2005; Dec. 30, 2006>
1. Articles to donate to foreign charity or relief organizations and associations;
2. Fuel oil deemed to be loaded and used on a ship which is used to be an international trading ship or deep-sea fishery ship but becomes an inland trading ship upon approval from the head of customs office, on which no customs are levied;
3. Articles to donate to the State or the local governments;
4. Aid articles imported under a military aid program or military supply articles manufactured with such aid articles as raw materials;
5. The articles on which the traffic, energy, and environment tax is imposed when exported, where they are imported back and shipped out from a bonded area, provided that a certificate has been issued by the chief of the tax office concerned to the effect that no refund or exemption has been granted under this Act;
6. The articles manufactured in Korea on which no traffic, energy, and environment tax was imposed when exported, where they are imported back within six months from the date on which an export license is issued, become taxable articles, and are shipped out from an bonded area, provided that a certificate has been issued by the head of the customs office or the chief of the tax office concerned to the effect that no exemption or refund has been granted with regard to raw materials used for the manufacture or processing such articles under this Act or the Act on Special Cases concerning the Refund of Customs Duties Levied on Raw Materials for Export.
Article 17(Tax deduction and refund) #
(1) If the articles or raw materials, on which any traffic, energy, and environment tax has already been paid or is yet payable, are shipped out from a manufacturing place or a bonded area and used directly for manufacturing or processing taxable articles, the amount of such traffic, energy, and environment tax already paid or payable shall be deducted from the amount of the traffic, energy, and environment tax payable or collectable with regard to such taxable articles, as prescribed by Presidential Decree. <Amended on Dec. 30, 2006>
(2) If the articles, on which any traffic, energy, and environment tax has already been paid or is yet payable, fall under any of the following subparagraphs, such traffic, energy, and environment tax already paid shall be refunded, as prescribed by Presidential Decree. In such cases, traffic, energy and environment tax payable shall be exempted: <Amended on Dec. 30, 2006; Dec. 31, 2009; Dec. 27, 2010>
1. Where any taxable articles or any articles manufactured or processed with such taxable articles are exported or supplied to foreign armies stationed in Korea;
2. Where any traffic, energy, and environment tax is exempted for any taxable articles which are manufactured or processed with taxable articles shipped out from a manufacturing place or a bonded area as raw materials thereof;
3. Where any taxable articles shipped out from a manufacturing place are returned to the manufacturing place and the chief of the competent tax office confirms such return pursuant to Presidential Decree;
4. Where any taxable articles are used as raw materials for medical care, medicine production, fertilizer production, or agricultural chemical production, used for airplanes, ships for international routes, or deep-sea fishery vessels, or used by foreign missions in Korea, etc.
(3) Persons who intend to obtain confirmation as prescribed in paragraph (2) 3 shall report to the chief of the competent tax office the fact that the relevant taxable articles have been returned, by the last day of the month following the month when such return occurs; provided, in cases of decrease of the traffic, energy, and environment tax rate, the taxable articles concerned are deemed to have been returned to the same manufacturing place when they are returned to the stockyard of the manufacturer and, upon reporting of such return, a confirmation has been obtained from the chief of the tax office having jurisdiction over the stockyard within five days from the date of tax rate deduction. <Amended on Dec. 29, 1995; Dec. 30, 2006; Dec. 29, 2015>
Article 18(Report of business founding and closure) #
(1) Those who wish to manufacture any taxable article shall report to the chief of the competent tax office, as prescribed by Presidential Decree. The same shall apply to business suspension or closure, or changes in reported details of business.
(2) Where a manufacturing business of any taxable article is taken over as a result of transfer or succession of such business, or of merger of corporations, the transferee, the successor, or the corporation which survives the merger or is newly incorporated by way of merger, shall file a report on such fact with the chief of the tax office concerned. In such case, the transferee shall report so jointly with the transferor.
(3) Notwithstanding paragraph (1), an entrepreneur who has two or more manufacturing places may file a report with the head of the tax office having jurisdiction over the headquarters or main office of the relevant entrepreneur by business unit. <Added on Dec. 27, 2010>
(4) When an entrepreneur who has reported his or her business founding under paragraph (1) intends to file a report by business unit under paragraph (3), he or she shall file a report thereon by not later than 20 days before the month in which he or she intends to be treated as a taxable entrepreneur by business unit. <Added on Dec. 27, 2010>
(5) Matters necessary for the report of business founding and closure, etc. shall be prescribed by Presidential Decree, in addition to the matters prescribed in paragraphs (1) through (4). <Added on Dec. 27, 2010>
Article 19(Book-keeping obligation) #
A manufacturer of taxable articles shall keep an account book for each manufacturing place and record the matters concerning the manufacture, storage, and sales thereof, as prescribed by Presidential Decree.
Article 20(Succession of rights and obligations) #
Where any comprehensive succession with regard to a business as a manufacturing business takes place without de facto movement of the manufacturing place, the successor shall succeed to the rights and obligations of the predecessor as listed in the following subparagraphs. The same shall apply to cases where the status of the person who has brought in without tax payment or under tax exemption has been comprehensively taken over pursuant to Article 12 (1) or 15 (1): <Amended on Dec. 30, 2006; Dec. 31, 2011>
1. Obligations to report the tax base under Article 7, to pay the tax amount under Article 8, and to pay additional tax amount under Articles 47-2 through 47-4 of the Framework Act on National Taxes;
2. Obligations to keep an account book and make records in it pursuant to Article 19;
3. Rights on the articles under ex post facto control as the articles brought in without tax payment or under tax exemption under this Act;
4. Rights and obligations with regard to tax deduction and exemption under Article 17.
Article 21(Order) #
(1) When it is deemed necessary for securing payment of traffic, energy, and environment tax, the Government may issue to a manufacturer or seller, etc. of taxable articles an order concerning the issuance of tax calculation sheet and other matters necessary for the regulation purpose, as prescribed by Presidential Decree. <Amended on Dec. 30, 2006; Dec. 29, 2015>
(2) When it is deemed necessary for securing payment of traffic, energy, and environment tax, the Government may issue an order to a person who brings articles in without tax payment or under the tax exemption under Article 12 (1) or 15 (1) to submit data for taxation or other matters necessary for enforcement of regulation. <Amended on Dec. 30, 2006>
Article 22(Interrogation and examination) #
(1) A tax official may ask a manufacturer or seller, etc. of taxable articles questions concerning the matters as prescribed in each of the following subparagraphs and check an account book, documents, and other things relating thereto when deemed necessary for examining the traffic, energy and environment tax: <Amended on Dec. 30, 2006; Dec. 29, 2015>
1. Possession of taxable articles or any goods manufactured using such taxable articles by the manufacturer or the seller, etc. thereof;
2. Account books and documents concerning the manufacture, storage, or sales of taxable articles or any goods manufactured using such taxable articles;
3. A building, machine, equipment, materials, and other things necessary for the manufacture, storage, and sales of taxable articles or any goods manufactured using such taxable articles.
(2) A tax official may ask questions concerning the origin and destination of taxable articles or any goods manufactured using such taxable articles under transportation. In such cases, the tax official may take necessary measures including the cessation of such transportation, or the seal on the goods or on the transporting vehicles and ships, when deemed necessary for enforcement of regulation.
Article 23(Presentation of certificate for authorities) #
When a tax official questions, examines, and takes necessary measures as prescribed in Article 22, he or she shall carry an identification indicating his or her authority and show it to the persons concerned.
Article 24(Jurisdiction over traffic, energy and environment tax) #
Duties relating to taxation of and collection for the articles shipped out from a bonded area or brought into a bonded factory shall be conducted by the head of the customs office having jurisdiction over the bonded area.
[Title Amended on Dec. 30, 2006]
Article 25(Administrative fines) #
(1) The head of the competent tax office shall impose administrative fines not more than three times the sale value or acquisition value of the petroleum sold or acquired on a person who sold petroleum shipped out for purposes other than use for ships for the international routes or deep-sea fishery vessels from among petroleum exempt from the traffic, energy, and environment tax for use for ships for the international routes or deep-sea fishery vessels pursuant to Article 15 (1) 3 or a person who acquired the relevant petroleum with knowledge of the fact, and collect the administrative fines from such persons.
(2) The head of the competent tax office shall impose an administrative fine not exceeding 20 million won on a person violating the order for securing payment of tax under Article 21 and collect the administrative fine from such person.
(3) The standards for imposition of administrative fines under paragraphs (1) and (2) shall be prescribed by Presidential Decree. <Added on Dec. 21, 2021>
[This Article Added on Dec. 31, 2018]