Lee Hyoung-il Says Crypto Tax Guidelines to Be Announced This Year, Backs ‘Other Income’ Classification

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Lee Hyoung-il, South Korea’s nominee for deputy prime minister and finance minister, said detailed tax guidelines for virtual assets will be announced before year-end ahead of the planned Jan. 1 implementation of crypto taxation.

The Kyunghyang Shinmun reported on Sept. 13 that, in written responses submitted to the National Assembly ahead of his Sept. 15 confirmation hearing, Lee said the specific standards would be published in a National Tax Service notice within the year so taxpayers would face no difficulty in filing.

Lee also said the current tax framework, which classifies income from virtual assets as other income, is appropriate. He said that classification would allow a taxpayer-friendly system, including a basic deduction and a single tax rate, while reducing compliance costs under comprehensive income taxation.