Fairness debate over crypto tax reignites after investment tax repeal

The South Korean government's reaffirmation of its plan to tax virtual assets next year has reignited a debate over fairness, particularly following the abolition of the financial investment income tax, News1 reported. The opposition People Power Party has decided to review the tax system itself. Lawmaker Song Eon-seok of the party argued that taxing virtual assets is inconsistent with fairness now that the financial investment income tax has been repealed. Lawmaker Kim Eun-hye pointed out that it is difficult to accept the government's plan to collect taxes when the criteria for taxation remain unclear. Similarly, lawmaker Park Soo-young stated that the National Tax Service is not sufficiently prepared to impose a virtual asset income tax. In contrast, the ruling Democratic Party has not yet announced an official position on the matter. Previously, the National Tax Service stated that under current law, it is preparing to tax income generated from 2027, with the first tax filings scheduled for 2028.