South Korea plans to implement a 22% tax on cryptocurrency profits starting January 1, 2027. This tax will apply to annual earnings exceeding 2.5 million won (around $1,740) and will comprise a base rate of 20% plus an additional 2% for local taxes. The proposal has experienced several delays, and a bill is currently being reviewed by the National Assembly that seeks to repeal the tax. Key stakeholders in this debate include Deputy Prime Minister for Economic Affairs Ku Yun-chul and the ruling People Power Party. Critics of the tax express concerns that the absence of a loss carryover provision may push investors to utilize foreign exchanges and peer-to-peer platforms instead.
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South Korea to Impose Cryptocurrency Tax Starting in 2027
South Korea will impose a 22% tax on crypto earnings over 2.5 million won starting in 2027, facing criticism over potential investor flight.
Mercation Admin
July 30, 2026 1 min read



