South Korea’s finance minister nominee says 2027 crypto tax impact may be limited

South Korea’s finance minister nominee Lee Hyoung-il said the impact of taxing virtual assets from next year is unlikely to be as large as some expect, Edaily reported. At a parliamentary hearing held late today, Lee made the remarks after People Power Party lawmaker Kim Sang-hoon raised the need for a two-year delay in virtual asset taxation. Lee said additional review was possible, but the implementation timing had already been pushed back to 2027 after National Assembly discussions in 2024. Lee added it would be good for the subcommittee to discuss the matter as well. Lee also said statistics show 85% of investors hold less than 5 million won in assets. Even if investors cannot prove the acquisition price, 50% of gains can be recognized as necessary expenses, making taxable amounts likely to remain around 2.5 million won. Given the basic deduction of 2.5 million won, Lee said most investors would face either no tax burden or only a minimal one.