Korea's Tax Agency Boosts Crypto Tracking, Tackles Tax Evasion

The National Tax Service in South Korea is cracking down on tax evasion using cryptocurrencies. The agency plans to add more virtual asset transaction-tracking programs and upgrade its AI forensic system to prevent tax evasion involving digital assets.

In a recent tax administration plan, the agency outlined its efforts to strengthen tax justice. It aims to encourage tipoffs on tax evasion and hidden assets by expanding reward payments for such reports.

The National Tax Service will also focus on real-estate tax evasion, including cut-rate transfers and sham transactions used to avoid heavier taxes on owners of multiple homes. Additionally, it will target tax evasion tied to unfair stock-market practices like stock-price manipulation, duplicate listings, and share-price suppression.