Odaily Planet Daily report: The South Korean government plans to delay the implementation of cryptocurrency gains tax by two more years to 2029, with detailed tax guidelines to be released in the first half of 2028. Finance Minister Lee Hyoung-il stated that the government will consult with members of parliament regarding the delay of the tax arrangement originally scheduled for January 2027.

The proposed tax rate of 22%, comprising 20% income tax and 2% local tax, applies to annual cryptocurrency gains exceeding 2.5 million KRW. The government stated that South Korea plans to begin exchanging information with the United States under the Crypto-Asset Reporting Framework (CARF) in 2029, and taxing before then could put the domestic market at a disadvantage.

The government also plans to introduce a three-year loss carryforward arrangement, allowing investors to offset crypto losses against future gains over the next three years, with corresponding amendments slated for submission during the 2027 congressional session. The tax was originally scheduled to take effect in January 2022, then delayed successively to 2023, 2025, and 2027. (Cointelegraph)