South Korea crypto tax delay petition forces legislative review

A petition with over 50,000 signatures has triggered a mandatory legislative review in South Korea for a two-year delay of the country's planned 22% tax on cryptocurrency gains. The petition, which surpassed the required signature threshold on the National Assembly's electronic portal, asks lawmakers to postpone the tax start date from January 1, 2027, to January 1, 2029. The referral to the National Assembly's Strategy and Finance Committee does not automatically change the law or postpone the tax. The official schedule remains January 2027 unless new legislation is passed. The committee must now consider the petitioners' case alongside the government's position to decide if an amendment is needed. The petition argues that South Korea lacks adequate systems for calculating gains across domestic exchanges, overseas platforms, and private wallets. Its author stated that immediate taxation could drive trading activity to offshore platforms and generate little revenue due to market volatility. The submission described digital assets as a potential wealth ladder for young people, a characterization representing the petitioner's position.