South Korea's annual tax reform package does not include any provision to further postpone the taxation of virtual assets, according to Korean media outlet MK. That leaves the 2027 tax timetable set out under current law most likely intact.
Under the Income Tax Act, income from the transfer and lending of virtual assets will be classified as 'other income' starting in 2027. Each investor receives an annual exemption of 2.5 million Korean won; anything above that threshold is subject to a 20% income tax plus an additional 10% local income tax, for a combined rate of 22%.
The government had announced the annual reform plan earlier, and MK reported that no additional delay for crypto taxation was included. The absence of a postponement clause means the existing legal schedule holds as the operative timeline. Investors will have the per-person exemption applied each year, with any remaining gains taxed at the combined rate. For crypto holders in South Korea, the reform plan keeps the 2027 start date in place.
South Korea's annual tax reform package contains no measure to further postpone taxation of virtual assets, Korean media outlet MK reported. The absence of a delay clause points to the 2027 tax schedule set out in current law remaining largely in force.
Under the Income Tax Act, income from virtual asset transfers and lending will be classified as 'other income' from 2027. Investors can claim a 2.5 million Korean won annual exemption per person, with any excess taxed at a 20% income tax rate plus a 10% local income tax surcharge, for a combined rate of 22%.
The annual reform plan, which the government unveiled earlier, includes no additional postponement for crypto taxation. That leaves the timeline written into existing law as the operative schedule. In practical terms, investors holding virtual assets will have the per-person exemption applied each year; any gains above the threshold will be taxed at the combined 22% rate once the regime takes effect in 2027.
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