South Korea May Delay Crypto Tax Again — This Time to 2029

South Korea might delay its long-awaited cryptocurrency tax once again — this time all the way to 2029.

The country has been trying to tax profits from digital assets (like Bitcoin and other cryptocurrencies) since 2020, but the policy keeps getting pushed back. Right now, the tax is officially set to begin on January 1, 2027.

What the tax actually does:

• It would charge a 22% tax on crypto profits (20% as income tax, plus a 2% local tax).
• It only applies to investors who earn more than 2.5 million Korean won (about $1,883) per year from crypto.
• In simple terms, if you make money buying and selling crypto above that amount, the government wants a share of your gains.

Why the delay? A big reason involves the United States. There's an international system called the OECD Crypto-Asset Reporting Framework (a global agreement where countries share tax information about crypto accounts with each other). South Korea plans to join in 2027, but the US won't join until 2029.

Since the US makes up nearly half of the entire crypto market, South Korean officials say it's hard to properly collect taxes without being able to get data from American exchanges (platforms where people buy and sell crypto).

An official from the Blue House (South Korea's presidential residence, similar to the White House) confirmed: *"We are discussing postponing the implementation of virtual asset taxation."*

This wouldn't be the first delay. Since the tax was first proposed in 2020, it has been postponed several times. For now, South Korea's National Tax Service still lists January 1, 2027 as the official start date — but that could change.

The takeaway: Crypto investors in South Korea may get a few more years before facing taxes on their profits. The final decision hasn't been made, so for now the 2027 date officially stands.

This is an AI-generated summary. Read the original article at: https://cointelegraph.com/news/south-korea-implementation-crypto-tax-2029?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound