The South Korean government is set to push ahead with its plans to roll out crypto tax in 2022 and could go on to tax non-fungible tokens (NFTs). Moreover, Seoul looks to be unshakable in its hardline policies, despite public pushback – while experts are warning USD 3.1bn worth of crypto is at risk if the three dozen or so non-big four crypto exchanges are allowed to go bust.
A number of online petitions have called on the government to reverse its bid to begin taxing crypto trading profits at a flat rate of 20% from January 1.
Seoul will order tax filings from anyone earning over USD 2,100 a year from crypto trading, a figure far lower than the USD 42,000 threshold for tax-free stock market trading profits on KOSDAQ-listed companies. Opposition MPs, members of the ruling Democratic Party, and traders have all called for either a review or a delay until 2023, but the government says it will not