South Korea Sets 2027 Crypto Tax at 22% for Gains Over 2.5 Million Won

South Korea crypto tax 2027 Koo Yun‑cheol 22% rate

South Korea will start taxing cryptocurrency gains on 1 January 2027. Investors whose annual crypto profit exceeds 2.5 million won (about $1,800) will pay a combined 22 % rate – 20 % national income tax plus a 2 % local levy. Profits are classified as “other income” rather than capital gains, and the current framework does not allow loss‑carryforward deductions, although the government said it could review that rule after implementation.

Deputy Prime Minister and Finance Minister Koo Yun‑cheol confirmed the schedule during a National Assembly Finance and Economy Planning Committee meeting on 29 July, rejecting any further postponement. The tax was originally slated for January 2022 and has been delayed three times because of concerns over reporting infrastructure and market readiness. The policy includes a basic annual deduction of 2.5 million won and will require detailed record‑keeping from both domestic and overseas exchanges.

Industry groups warn the levy could push traders toward offshore platforms and increase anti‑money‑laundering reporting burdens. The Digital Asset eXchange Alliance estimates suspicious‑transaction reports could jump from roughly 63,000 to about 5.4 million per year once the tax is in force.

Entities

Digital Asset eXchange Alliance · Digital Asset eXchange Alliance (DAXA) · Kim Sang‑hoon · Koo Yun-cheol · Koo Yun‑cheol · National Assembly Finance and Economy Committee · National Assembly Finance and Economy Planning Committee · Republic of Korea · South Korea · South Korean government

Claims

What the coverage asserts, and how many sources carry each claim.

[● 4 SOURCES] Lawmaker Kim Sang‑hoon warned the lack of loss carryforward could cause investors to shift to overseas platforms. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] The tax rate is 20 % national income tax plus a 2 % local levy, totaling 22 % on gains above 2.5 million won. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] Each taxpayer receives an annual deduction of 2.5 million won for crypto gains. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 5 SOURCES] South Korea will begin taxing cryptocurrency gains on 1 January 2027. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] Loss carryforward is not permitted at launch; crypto losses cannot offset future gains. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] Crypto profits are classified as “other income” rather than capital gains. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] Deputy Prime Minister and Finance Minister Koo Yun‑cheol confirmed the tax schedule will not be delayed. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[○ 1 SOURCE] The Digital Asset eXchange Alliance estimates suspicious‑transaction reports could rise from about 63,000 to 5.4 million annually after the tax starts. coinpedia.org
[● 4 SOURCES] Crypto gains above 2.5 million won are taxed at a combined 22 % rate (20 % national income tax plus 2 % local tax). coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[○ 1 SOURCE] The Digital Asset eXchange Alliance expects suspicious‑transaction reports to rise from roughly 63 000 to about 5.4 million per year after the tax is implemented. coinpedia.org
[● 5 SOURCES] Deputy Prime Minister Koo Yun‑cheol confirmed the 2027 schedule in a National Assembly Finance and Economy Planning Committee meeting on 29 July. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org
[● 4 SOURCES] Crypto profits are classified as “other income” rather than capital gains under the new rules. coindoo.com · coinpaper.com · themarketperiodical.com · coinpedia.org