South Korea extends tax cuts on imports

South Korea’s finance ministry said it would extend tax breaks on oil product imports to 2011, in a bid to curb inflation which threatens the country’s economic recovery. Tariffs on gasoline, diesel fuel, kerosene and heavy fuel oil imports, which was reduced from 5% to 3% in 2010, will remain at 3%, the Ministry of Strategy and Finance said in a statement. “We have decided to extend the tax breaks on imported oil and chemical products for next year to reduce the burden on local consumers and tame inflation,” the ministry said. (December 21, 2010)