South Korea Opposition Pushes to Delay Crypto Tax Until 2030

Highlights:

• The South Korean crypto tax could be delayed until 2030 if lawmakers approve Jeong Seong-guk’s new amendment.
• People Power Party lawmakers say investors need stronger protections before cryptocurrency taxation begins.
• A separate opposition bill seeks to remove the cryptocurrency income tax from the Income Tax Act entirely.

People Power Party lawmaker Jeong Seong-guk has proposed delaying South Korea’s cryptocurrency income tax for another three years, according to South Korean broadcaster MBN. His bill would move the implementation date from January 1, 2027, to January 1, 2030. However, Jeong’s proposal would keep the cryptocurrency income tax in South Korea’s Income Tax Act while delaying its enforcement until January 1, 2030.

South Korea might delay its crypto tax until 2030.

A ruling party lawmaker just proposed pushing the 22% tax (on gains over ~$1,810) back three years from 2027.

Korean crypto investors just caught a potential break. pic.twitter.com/dQJJS4EsdY

— Jessica Gonzales (@lil_disruptor) August 10, 2026

Jeong said the proposed three-year delay would allow South Korean lawmakers and regulators to review the virtual asset tax framework before the planned January 2027 implementation. Jeong argued that South Korean authorities should strengthen investor protections and complete tax administration systems before collecting cryptocurrency taxes. The lawmaker also said South Korean taxpayers deserve greater certainty while lawmakers review the virtual asset tax rules before implementation.

Instead, Jeong said the government and lawmakers should first create a cryptocurrency tax system that investors can accept before enforcing the levy. Jeong also called for enough time to complete the review of South Korea’s virtual asset tax framework before authorities begin collecting cryptocurrency taxes.

How South Korea Crypto Tax Would Affect Investors

South Korea’s current Income Tax Act requires authorities to begin taxing cryptocurrency income from January 1, 2027. The rules apply to income that investors earn from transferring or lending cryptocurrencies such as Bitcoin and Ethereum. South Korean tax authorities will classify those cryptocurrency earnings as other income under the Income Tax Act.

South Korean cryptocurrency investors will receive an annual tax exemption of 2.5 million won before authorities apply the cryptocurrency income tax. Authorities will apply a combined 22% tax to annual cryptocurrency gains exceeding the 2.5 million won exemption. The combined rate includes a 20% national income tax and a 2% local income tax under the current framework.

The People Power Party lawmakers are still challenging the proposed cryptocurrency tax framework before its planned implementation. People Power Party lawmakers argue that the current tax framework treats cryptocurrency investors less favorably than ordinary stock investors. The Party says imposing a 22% cryptocurrency income tax creates unequal treatment because ordinary stock investors no longer face a comparable investment tax.

Meanwhile, South Korean authorities are preparing administrative systems before the planned tax implementation. South Korea expects to receive overseas cryptocurrency transaction information through the OECD Crypto-Asset Reporting Framework beginning next year. South Korea’s National Tax Service has also established a digital asset unit to prepare implementation guidance for the planned cryptocurrency tax.

Separate Repeal Bill Adds Pressure to Tax Debate

Jeong’s amendment is not the only proposal challenging the planned cryptocurrency tax. People Power Party lawmaker Song Eon-seok has separately introduced a bill seeking to remove the cryptocurrency income tax provision from the Income Tax Act entirely. The proposal would delete the section covering income from transferring or lending virtual assets.

🚨BREAKING🚨 South Korea Pushes for Full Repeal of Crypto Tax!

Today, People Power Party (PPP) floor leader Song Eon-seok held a meeting at Coinone with CEOs of the top 5 exchanges (Upbit, Bithumb, Coinone, Korbit, Streami) and proposed an amendment to the Income Tax Act to… pic.twitter.com/cjC1w1591i

— NineB Insight (@nineB_insight) March 25, 2026

Song Eon-seok’s repeal proposal is now before the National Assembly’s Finance and Economic Planning Committee for review. The committee could send the repeal proposal to one of its subcommittees for further legislative review.

In a related development, the Financial Services Commission is preparing the Digital Asset Basic Act with the ruling Democratic Party. The proposed Digital Asset Basic Act would combine 10 pending cryptocurrency and stablecoin bills into a single regulatory framework. The legislation would also establish rules covering stablecoin issuance, exchange requirements, disclosures, internal controls and trading system resilience.