South Korea to press ahead with crypto tax in January, minister says

South Korea will proceed as scheduled with taxation on digital assets in January, Deputy Prime Minister and Finance Minister Lee Hyoung-il said at a plenary meeting of the National Assembly’s planning and finance committee on Sept. 28. Asked by People Power Party lawmaker Park Soo-young whether Lee could take responsibility if preparations for digital asset taxation were inadequate, Lee said he would. Lee also reiterated the government’s position that the tax, scheduled to take effect in January, will move forward as planned. Lee added that around 85% of holders own less than 5 million won and said those with under 5 million won in holdings would face little or only minimal tax burdens because a basic deduction of 2.5 million won applies. For investors in their twenties and thirties, Lee said about 90% hold less than 5 million won, so the tax burden is not expected to be significant, while adding that the government will also look for supplementary measures to secure taxpayer acceptance if issues arise during implementation.