South Korea Confirms Crypto Tax Start Date Amid Investor Concerns

South Korea has confirmed it will begin taxing virtual asset gains on January 1, 2027. This is after three previous delays to implement the policy.

The government expects the policy to proceed under the current timetable, but officials may revise parts of the system if practical problems emerge during implementation.

The Income Tax Act requires South Korea to tax profits from cryptocurrency and other virtual asset transactions, with a 20% national tax rate. Local taxes can raise the total burden to 22%.

Investors will receive a basic annual deduction of 2.5 million won under the present framework. They will need detailed transaction records from domestic and overseas trading platforms to calculate their gains.