SNU study says crypto tax delays were driven more by readiness concerns than public opinion

A Seoul National University study found that in three past decisions to delay taxation on virtual assets, arguments from experts, industry participants and investors that the system was not ready carried more weight than public opinion favoring the introduction of the tax, according to Digital Asset. The Institute of Korean Political Studies at Seoul National University said in a paper published in the Korean Political Studies journal in June that it analyzed the structure and reasoning behind different policy decisions on four tax-cut measures under the Lee Jae-myung government: the financial investment income tax, the digital asset tax, the inheritance tax and the comprehensive real estate holding tax. The paper said the digital asset tax clearly showed a gap between public opinion and the policy outcome, as most polls favored introducing the tax while the National Assembly decided on a delay. It added that the issue was framed around inadequate tax systems and infrastructure, showing a problem-stream-dominant mechanism that shaped policy trends, unlike the financial investment income tax tied to the stock market. The study said the finding suggests that even under the same political conditions, different policy decision-making mechanisms can operate depending on a policy’s internal characteristics and external factors, and that successful implementation requires a tailored strategy suited to each policy.