South Korea considers delaying crypto gains tax until 2029

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South Korea may postpone its planned tax on cryptocurrency gains for a fourth time, pushing its introduction to 2029, local news outlet Newsis reported.

The presidential office is discussing another delay with relevant government agencies, according to a Newsis report published on 25 October. The tax is currently scheduled to take effect on 1 January 2027.

South Korea introduced the tax plan in 2020 through an amendment to the Income Tax Act. It sets a 22% tax rate, including local tax, on annual gains from transferring or lending crypto assets above a basic deduction of 2.5 million won ($1,888).

The measure was initially due to take effect in 2022 but has been postponed three times. Concerns over tax infrastructure and investor protection contributed to the delays, according to The Block. A further postponement would be the fourth.