Seoul: South Korea's tax revenue increased by 5.5 trillion won (US$3.7 billion) from a year earlier in March, driven by increases in income tax collections, government data showed Thursday. The government collected 37.8 trillion won in taxes last month, marking a 17 percent rise from the same period last year.

According to Yonhap News Agency, the increase was largely fueled by higher income tax revenue, which jumped by 2.2 trillion won. This was attributed to higher wage income taxes amid increased bonus payments, as well as a rise in capital gains taxes due to more overall housing transactions.

Meanwhile, securities transaction tax revenue climbed by 800 billion won, supported by a surge in trading volume on the benchmark KOSPI market amid a market boom. Value-added tax revenue also increased by 300 billion won, partly due to higher payments following deadline extensions.

Revenue from inheritance and gift taxes, as well as transportation, energy, and environment taxes, each rose by 100 billion won.