South Korea is weighing yet another delay to its planned cryptocurrency income tax, which is currently set to take effect on January 1, as per local news media reports. <\/p>\n
According to the report<\/a>, the tax could be pushed all the way to 2029, largely because that\u2019s the earliest point at which officials expect to be able to exchange tax-related data on digital asset transactions with the United States. This would mark the fourth postponement for a tax that has already been delayed three times before, and officials are increasingly leaning toward another push-back as they weigh arguments that the country\u2019s legal and administrative systems aren\u2019t fully equipped to handle enforcement yet.<\/p>\n The timing mismatch traces back to international data-sharing commitments. South Korea sits among the first group of jurisdictions scheduled to begin exchanging crypto transaction data in 2027 under the OECD\u2019s Crypto-Asset Reporting Framework (CARF). The United States, however, isn\u2019t set to join that data exchange until 2029,as per the report, which cited the CARF timeline as a central factor behind the proposed delay.<\/p>\n The missing US trading data represents the single biggest obstacle to the move. Without access to that information, South Korea\u2019s <\/a>National Tax Service would be forced to track down overseas transactions on a case-by-case basis, leaving Korean traders who use domestic exchanges at a disadvantage compared to those trading on foreign platforms or holding assets in self-custody, where enforcement is harder to reach.<\/p>\n Under the current tax rules, South Korea applies a combined 22% rate to qualifying crypto income above an annual threshold of 2.5 million won, made up of a 20% national income tax and a 2% local income tax. <\/p>\n
![](\"https:\/\/coincodecap.com\/wp-content\/uploads\/2026\/07\/hyperliquid-banner-native-web-1.jpg\")
<\/a><\/div>\n