What tax rate and annual threshold are planned for cryptocurrency gains in Korea?

Under the scheme, annual cryptocurrency gains above 2.5 million won ($1,880) would be taxed at 22 percent, including local income tax.

Why did the DPK and government raise concerns about Korea’s planned cryptocurrency tax?

One concern was tax fairness between people using domestic exchanges and those using overseas exchanges. DPK lawmaker Oh Gi-hyoung also said some participants believed further improvements were needed, although others argued taxation should proceed after three postponements.

When is cryptocurrency taxation scheduled to begin in Korea, and what decision did the DPK make?

The tax is scheduled to take effect on Jan. 1 next year. After the meeting ended without agreement on whether to delay it, the DPK said it would review the issues before reaching a final decision.

Ruling party, gov't fail to agree on delay of cryptocurrency tax

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Summary

The ruling Democratic Party of Korea (DPK) and the government failed to decide Wednesday at the National Assembly whether to delay cryptocurrency taxation scheduled to begin next year. DPK lawmaker Oh Gi-hyoung said participants agreed that virtual assets should be taxed but raised concerns about fairness between users of domestic and overseas exchanges. The DPK will review the issues before making a final decision. The tax scheme would apply a 22 percent rate to annual cryptocurrency gains exceeding 2.5 million won, including local income tax.

Key Facts

Korea introduced the cryptocurrency taxation scheme in 2020, and its implementation has been postponed three times.
The meeting was attended by DPK lawmakers and finance ministry officials.
The planned tax is set to take effect on Jan. 1.
The 2.5 million won threshold is equivalent to $1,880, according to the article.

By Yonhap

Published Oct 28, 2026 10:05 am KST

The cryptocurrency prices are displayed on a screen at the cryptocurrency exchange Bithumb lounge in Seoul, Monday. Yonhap

The ruling Democratic Party of Korea (DPK) and the government failed to reach a decision for a fourth time Wednesday on whether to delay the planned taxation of cryptocurrencies, with the tax set to take effect next year.

The meeting at the National Assembly, attended by DPK lawmakers and finance ministry officials, came as Korea plans to begin taxing virtual assets on Jan. 1.

"We need to discuss several issues regarding taxation, and while some argued for taxation since it has been postponed three times, there were suggestions that a few further improvements should be made," Rep. Oh Gi-hyoung told reporters.

Officials at the meeting agreed on the need to levy tax on virtual assets but raised several concerns, including tax fairness between users of domestic and overseas exchanges, according to the lawmaker.

The DPK will further review the issues before reaching a final decision, he added.

Korea first introduced a taxation scheme on cryptocurrencies in 2020 but its implementation has been postponed three times.

Under the scheme, annual cryptocurrency gains exceeding 2.5 million won ($1,880) will be subject to a 22 percent tax, including local income tax.

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