New license plates have been used since 2007. This paper proposes a new license plate extraction method using a gray labeling and a fuzzy reasoning method. First, the proposed method extracts the candidate plates by the gray labeling which is the enhanced version of a non-recursive flood-filling algorithm. By newly designed fuzzy inference system. fitness of each candidate plates are calculated. Finally, the area of the license plate in a image is extracted as a region of the candidate label which has the highest fitness. In the experiments, various license plate images took from indoor/outdoor parking lot, street, etc. by digital camera or cellular phone were used and the proposed extraction method was showed remarkable results of a 94 percent success.