South Korea to Introduce Taxes on Digital Assets in 2029
Officials said the delay will give lawmakers time to refine rules for overseas trading, loss carryforwards and taxpayer filings.
- On Thursday, South Korea announced a two-year delay in implementing digital asset taxes, shifting the start date to 2029. Finance Minister Lee Hyoung-il said the extension provides time to refine rules and secure overseas transaction data.
- The Ministry cited infrastructure improvements and data exchanges with the United States beginning in 2029 as reasons for the delay. Officials also noted the extension allows for asset definition changes under the Digital Asset Basic Act.
- Tiger Research and Chainalysis found 73.7 percent of 2,423 Korean cryptocurrency investors opposed implementation under current rules, though 51.5 percent said they would accept taxation if shortcomings were addressed. Industry groups welcomed the delay, citing difficulties verifying acquisition costs for overseas transfers.
- DPK Chairman Kim Min-seok formally requested the postponement, prompting criticism from the People Power Party. Spokesman Mun Jong-hyeong called the delay "typical populist politics," accusing the government of prioritizing young voters' approval ratings over market infrastructure.
- During the extended preparation period, the government plans to allow investors to carry losses forward for three years. Legislative amendments will be submitted to the National Assembly in 2027, with detailed tax guidelines expected in the first half of 2028.
21 Articles
21 Articles
Why does Korea keep delaying its crypto tax?
The government will seek to postpone cryptocurrency income taxation by another two years to 2029, Finance Minister Lee Hyoung-il said Thursday, renewing debate over tax fairness and policy credibility after three previous postponements. Lee said more time is needed to secure overseas transaction data and refine the rules. But the reversal, just a month after the government reiterated its commitment to proceeding in January, has drawn criticism o…
The government officially announced that it is pushing to postpone the income tax on virtual assets, which was scheduled to take effect next January, for two years. Criticism is mounting that the government and ruling party are acting irresponsibly and violating tax equity by delaying the tax for the fourth time just two months before implementation. On the 5th, Deputy Prime Minister and Minister of Finance and Economy Lee Hyung-il [at the Gover…
연합뉴스-Yonhap News Agency
korean-vibe.com(URGENT) S. Korea to seek 2-year delay in taxation of cryptocurrency gains
The government has postponed the implementation of virtual asset taxation by an additional two years, pushing it back to January 2029. While the government cited the establishment of an information exchange system with the United States as the justification, controversy is intensifying over issues such as declining policy credibility due to repeated postponements, loss carryforward deductions, and tax equity with stock investors.
South Korea pushes crypto tax to 2029 as finance minister changes course
South Korea wants to delay its tax on cryptocurrency gains by two years to 2029. Finance Minister Lee Hyoung-il announced the decision and acknowledged that the constant delays are a bad look for the government’s credibility. Did South Korean authorities reverse their decision on digital asset taxes? Speaking at a briefing at the Government Complex...
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