S.Korea To Issue Crypto Guidelines

April 3, 2018 Taxation in South Korea

cryptocurrency in South KoreaSEOUL – South Korea is aiming to enstate some control and taxation over the cryptocurrency market by mid-2018.

Over the weekend the government of South Korea announced that it will soon enact new rules regarding the taxation of virtual currencies.

Virtual currencies such as Bitcoin have enjoyed immense popularity in South Korea in 2018 and 2017, with astronomical demand and surge pricing for purchases in the country.

The government has tried to reign in the popularity and uncontrolled growth for the cryptocurrencies over the last 12 months.

By the end of June 2018, the government hopes to issue a guideline on the taxation of profits made from cryptocurrencies, whether it be from issuance, mining, capital gains, or from transactions.

No indication yet has been given on what the guidelines will mandate for the level of taxation or how it will be enforced.

However, the government has said that they will evaluate the measures already put in place around the world, their effectiveness, and their applicability to the economy of South Korea.

South Korea is set to host an international conference on cryptocurrencies for all G20-member countries.