Coinspeaker
Crypto Tax Delay Proposed in South Korea Ahead of Elections

The ruling People Power Party in South Korea has recently suggested postponing the implementation of taxes on crypto gains for a period of two years. This delay is being proposed in light of the upcoming general elections in April. The party argues that it is important to first establish a comprehensive regulatory framework before introducing any taxation measures for crypto investments.

Initially, South Korea had planned to introduce a 20% tax on profits from crypto investments exceeding 2.5 million Korean won (approximately $1,875) starting in January 2023. However, this timeline was later pushed back to 2025 to allow more time for the development of regulations within the crypto industry

Now, the People Power Party is advocating for an additional two-year delay until 2027 as part of their election campaign promises. They believe that prioritizing the establishment of regulations for cryptocurrencies is more important than implementing immediate taxation. The party is expected to finalize its manifesto, including the proposed deferment of crypto taxes, by the end of this month.