With the implementation of price hikes for soju, the popular liquor of the people, the government has put itself in a position to collect as much as 92.8 billion won in additional taxes. (Image : Yonhap)
SEOUL, Dec.9 (Korea Bizwire) – With the implementation of price hikes for soju, the popular liquor of the people, the government has put itself in a position to collect as much as 92.8 billion won in additional taxes.
The Korea Federation of Taxpayers revealed that as the factory price of soju was increased by 5.61 percent, an additional 28.6 won was charged per bottle.
Based on sales data from 2013, the Korea Federation of Taxpayers claim that a total of 92.8 billion won could be gathered from the additional taxes.
According to an analysis conducted by the Korea Federation of Taxpayers, soju tax revenue brings in 1.6 trillion won a year, based on data from 2013.
This represents 35.7 percent of the total tax revenue gathered from all types of liquor (4.6 trillion won), including beer.
Kim Sun-teak, the head of the Korea Federation of Taxpayers, claimed that soju prices were increased because more taxes could be gathered with less protest from the consumers when prices go up, instead of only increasing taxes.
By M.H.Lee (mhlee@koreabizwire.com)
