How is crypto taxed in South Korea?

Crypto tax in South Korea is scheduled to start on January 1, 2027. Gains above 2.5 million won a year would be taxed at a flat 22%, and the first returns would be filed in May 2028. As of October 2026 the start date still stands, though a further delay is being debated.

Is crypto tax free in South Korea right now?

For individual investors, yes, until the end of 2026. Amendments to the Income Tax Act approved in 2020 created a tax on crypto income, but the start was pushed from 2022 to 2023, then to 2025, then to 2027, crypto.news reports.

That will change if the 2027 date holds. Licensing and exchange rules are a separate matter, covered in how crypto is regulated in South Korea.

What is the South Korea crypto tax rate from 2027?

The rate is 22%: 20% national tax plus 2% local income tax. According to Digital Daily, the main rules are:

• Classification. Crypto income is miscellaneous income, taxed separately from wages and other income. Fees from lending coins are included.
• Taxable events. Tax arises when crypto is sold or swapped. Unrealized gains are not taxed, and a coin-to-coin swap counts as a disposal.
• Deduction. Gains and losses across coins are netted within the year, then a basic deduction of 2.5 million won applies. A net gain of 10 million won leaves 7.5 million won taxable, or 1.65 million won of tax.
• Old holdings. For crypto held before 2027, the cost is the higher of the actual purchase price or the market value on December 31, 2026, so gains built up before the tax starts stay untaxed.
• Cost method. Trades on domestic exchanges use a moving average cost. Overseas exchanges, peer-to-peer trades and personal wallets use first in, first out.

Crypto Briefing reports that losses cannot be carried forward to later years. The general idea of cost basis applies.

Will the Korea crypto tax be delayed again from 2027?

It might. In its 2026 tax revision, announced in early August, the Ministry of Economy and Finance did not propose another delay, and officials argued in May that there was no justification for one. The plan still needs National Assembly approval.

Opposition is active. crypto.news reports that one lawmaker proposed moving the start to January 1, 2030, and former People Power Party leader Han Dong-hoon called for a two-year delay in September 2026. Petitions to delay and to abolish the tax each passed the 50,000 signature mark needed to go to a parliamentary committee. Neither petition changed the law.

How will Korea track crypto income?

Bloomingbit reports that Korea expects to exchange overseas crypto data with 48 countries under the OECD's reporting framework. People using overseas exchanges or personal wallets may need to prove their own acquisition costs, so Digital Daily advises keeping full transaction records. Japan's approach is covered in how crypto is taxed in Japan.

Rules differ by country and change often. Check the tax authority or a qualified professional for your own situation.