Rep. Jung Sung-kook of South Korea's ruling People Power Party plans to introduce a bill that would push back the implementation of the virtual asset income tax by three years, moving the start date from Jan. 1, 2027 to Jan. 1, 2030, according to MBN.
The lawmaker argued that the delay would provide a safeguard while authorities complete a comprehensive review of the tax system and related regulations, giving taxpayers more certainty and preventing institutional confusion.
Under existing rules, income generated from the transfer or lending of virtual assets would be classified as "other income" starting Jan. 1 next year. The portion of annual profits exceeding KRW 2.5 million would be subject to a combined tax rate of 22%, consisting of a 20% other income tax and a 2% local income tax.
The proposal comes as public criticism aimed at the government and the ruling party intensifies over recent stock market volatility and surging real estate prices. The People Power Party has been positioning itself as a defender of crypto investor interests, having consistently opposed the tax and taken a stance at odds with the government's position.