South Korea Confirms 22% Crypto Tax Goes Ahead in January 2027

South Korea's Finance Ministry has officially confirmed that a tax on cryptocurrency gains will be implemented in January 2027. This tax, previously postponed, will categorize profits from virtual asset transfers or lending as 'other income.' Investors whose annual crypto earnings exceed 2.5 million Korean won (approximately $1,800) will be subject to a 22% tax rate, comprising a 20% income tax and a 2% local tax. This policy is expected to affect an estimated 13.26 million investors. The National Tax Service is currently finalizing guidance for this new system and has been collaborating with major South Korean exchanges to prepare a draft notice, which is slated for legislative review in 2026. The tax was delayed twice before due to political disagreements and industry concerns regarding exchange readiness and the income threshold.

(Source：Cointelegraph)