South Korea Targets 2027 for Virtual Asset Taxation Rollout

South Korea is advancing its plans to impose taxes on virtual assets, targeting a rollout from January 1, 2027. According to a report by Edaily, Park Jungryul, director of the Individual Taxation Division at the National Tax Service, confirmed that the agency will commence preparations in January 2025 to ensure a seamless implementation ahead of the May 2028 comprehensive income tax filing season. Under the proposed framework, income derived from the transfer and leasing of virtual assets will be categorized as "other income." Annual gains surpassing 2.5 million KRW will be subject to a 22% tax rate, comprising a 20% other income tax and a 2% local income tax. This initiative is estimated to impact approximately 13.26 million taxpayers.