Technology
Finance Minister South Korea Confirms Crypto-monetary Tax Plan
The South Korean Minister of Finances Hong Nam-Ki, during his address to the parliamentary financial committee on June 17th, has announced plans to impose a cryptocurrency tax.
The Ministry will reveal further details of the plan next month in a local news outlet called the Korea JoongAng Daily. Hong said the government's committee:
"It's continued to represent changes in market conditions in its tax structure, but is especially working to refine this year's list of taxable items and types of tax."
Earlier proposals on cryptotax
In January of this year the government, Cointelegraph announced, had proposed a 20 % income tax. This leads some people to speculate that these earnings will not warrant capital gains tax as "other profits."
However, before adopting a crypto-currency income tax, the Korean Tax Policy Association then introduced a two-stage tax system, initially proposing a low trading levy.
No additional information on which recommendations should be implemented, if any, was given.
Globalized economy digital tax Digital
The Minister also said that the government had discussed a new digital tax structure at international level.
He personally supported such a tax, noting that tax revenue from foreign companies can be increased. He admitted, however, that it could also hold some local companies accountable for foreign taxation.
Bithumb decided to contest a 69 million dollars tax bill because crypto-currency has been legally not recognised in the country as a money. the move to formalize the crypto-monetary tax structure is coming.
