Annual crypto gains over KRW 2.5 million will face a 20% tax from January 1, 2027, ending repeated delays in Asia’s key retail market.
South Korea will implement a 20% tax on annual crypto gains exceeding KRW 2.5 million starting January 1, 2027, Deputy Prime Minister Koo Yun-cheol confirmed. The move ends speculation of another postponement after three prior delays since the original 2022 target date.
The tax, rising to 22% with local surcharges, applies to capital gains from digital assets. Officials acknowledged potential shortcomings but committed to addressing issues post-implementation. South Korea ranks among the world’s largest retail crypto markets by trading volume.
Analysts warn the levy may dampen trading activity, though no immediate market reaction was reported.