Bithumb protests 'undue' income tax
gettyimagesbankBy Lee Kyung-min Korea's leading cryptocurrency exchange Bithumb will file a lawsuit against the National Tax Service (NTS) over what it considers a “groundless” tax the agency imposed on its customers, sources said Sunday.The firm will likely claim that the cryptocurrency is not a legally recognized currency and therefore lacks grounds for the authorities to impose a tax of any kind. This followed a Dec. 27 disclosure on the Financial Supervisory Service (FSS) website about a report that the NTS imposed 80.3 billion won ($69.1 million) in withholding tax to Bithumb in November. A withholding tax, also known as a retention tax, is an income tax paid to the government by the payer of the income rather than by its recipient. Most applied to employment income, the tax is withheld or deducted from the income in most jurisdictions. Bithumb headquarters in SeoulThis means Bithumb will have to pay the imposed amount to the NTS first before paying the remaining income to its customers. “We are preparing for arguments after being notified of the tax,” a
