South Korea has again postponed the imposition of a cryptocurrency tax until 2027

At a press conference today, Park Chan-dae, the House Leader of the Democratic Party of Korea, the country's largest opposition party, announced that it was abandoning plans to implement a cryptocurrency profits tax in 2025, agreeing to postpone it for another two years until 2027. The proposal to "postpone cryptocurrency profits tax" was proposed by the South Korean government and the ruling People Power Party, which had previously called the delay a political ploy by the ruling party.
Initially, South Korea planned to impose a 20% tax on cryptocurrency gains (22% local tax), which was originally scheduled to take effect on January 1, 2022. The plan has been postponed twice to January 1, 2025 due to strong opposition from investors and the industry. After today's press conference, the tax collection was postponed again to 2027. The ruling People Power Party also proposed that "the grace period of 2 years for cryptocurrency gains tax is still not enough, and it should be relaxed to 2028. Fast taxation of cryptocurrencies is not advisable, and investors may leave the market as a result. The National Power Party wants to delay the implementation until 2028 to fulfill its promise during the election period. "