The post South Korea to Enforce 20% Crypto Tax in 2025 After Long Delays appeared on BitcoinEthereumNews.com.

South Korea plans to apply a 20% tax on crypto gains starting in January 2025.   The Democratic Party proposes increasing tax exemption to $35,900 for crypto investors.   Authorities are enhancing tools and measures to combat cryptocurrency tax evasion nationwide.  South Korea reaffirmed its plan to tax virtual currency gains starting January 1, 2025, after a series of delays that pushed back the policy from its original 2022 launch date. Jin Seong-jun, Chairman of the Policy Committee for the Democratic Party of Korea (DPK), emphasized the need for legal clarity and financial stability regarding crypto taxation during a radio appearance. The plan will impose a 20% tax (22% including local tax) on crypto asset profits. However, concerns remain about domestic and overseas transactions. Jin acknowledged that while domestic cryptocurrency transactions are easily monitored for tax purposes, overseas transactions pose challenges due to limited tracking capabilities. To address this gap, the DPK proposes taxing domestic transactions immediately and extending the tax to overseas transactions by 2027, when monitoring tools should be more effective. Increased Tax Exemption Limit Proposed   In addition to the policy adjustment, the DPK is pushing for an increase in the digital asset tax exemption threshold. Under the current plan, gains below 2.5 million Korean won (approximately $1,795) are exempt. 🚨 South Korea is moving forward with a 20% crypto tax plan starting in 2025! 🇰🇷💰 While the tax was delayed twice, the ruling party is now committed to its implementation. They’ve raised the tax exemption limit from 2.5 million KRW to 50 million KRW ($1.8K to $35.9K), which… pic.twitter.com/6bBOk6nY2d — Crypto B 👑 (Never DM first) 🇧🇷 (@TheCrypto_B) November 20, 2024 The proposed changes would raise this limit to 50 million won (approximately $35,900), offering more flexibility for crypto investors. Jin stated this change will be discussed at the…

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Filed under: News - @ November 22, 2024 7:20 am