South Korea Announces 20% Tax on Crypto Profits

[percare 3192]

20% tax is too much. I would stop trading if I saw that as we can profit but not with the government taking this much. It is bad news and at least they given a deadline of a year before it become activated. I see many leaving the korean exchanges and moving perhaps to binance or japan exchanges.

[Fixfin 2569]

I don't think this tax is different from the rest of the countries that have regulated cryptocurrencies. I think the usa has even more since they tax every trade and probably this tax will be for profits only. I don't know if this is the price we pay for crypto but wherever we are it will soon happen to us too.

[Oxygen99 1930]

This is not a good favorable decision we have to tell each other the truth because this 20% they said may be too high for some Cryptocurrency users in the country and for that reason i think it will be much better if they consider reducing the 20% they earlier said so that small investors won't fill the impact too much.

[yonkii 3205]

This is bad Korea. I wasn't expecting this from the South Korea. Maybe from the North, but they probably don't allow crypto to their citizens. But South Korea really? 20% tax for crypto is just too much and the government only wants to be partner to traders but only in profits.

[annayks 2314]

I will have to defend the position of the South Korean government for one big reason. If a major hack happens or a theft of Bitcoin the Korean government will require to allocate funds to the internet fraud department and waste work hours looking for this. Without taxing anything you can't ask for government to locate the thieves or do some investigation at least. Also all the regulation it needs to have income to succeed. There is nothing for free and 20% maybe a lot and 15% or even 10% would be more acceptable, but this is a problem of the country to deal mostly.

[zhoutong 2188]

It is too much, but the traders of this country will decide if it will allow them to keep what they are doing. Korea was not treating cryptocurrencies well all this time. They were strict and they see crypto as a danger. It is a different culture than most of the rest because of the split with North Korea and the constant state of war that can erupt anytime. Their rules are stricter than all the western countries and the traditions are very strict too.

[Zafarwaheed 0]

On 7/23/2020 at 2:35 PM, Moaz said:

I think this is a clear recognition by South Korea of legally encrypted currencies and this is a positive thing, but impose a 20% tax on crypto profits is a high tax in my opinion and it will negatively affect traders in cryptocurrencies in South Korea

I think it's a good step taken by the south Korea government to accept the cryptotalk currencies on the world Level and also the crypto trading and in exchange. But it's a also bad news for the users of this forum that they have to pay 20 percent tax of their amount to cash out.

[cryptovlek 2597]

Coming soon to all of us. And because some governments are more greedy they will tax us from the first dollar. I am planning to stop if this happens, I won't feed the government with taxes for something that is high risk and has no guarantee of profit.

[kryptonick 2659]

I hope this taxation will not destroy the Korean market for cryptocurrencies. I don't know exactly how it will work but it will discourage many traders and move investors to other assets as with this high taxation they remove a lot of the expected reward that was the reason to take a high risk in this investment.

[Projectcrypto 4382]

16 hours ago, kryptonick said:

it will discourage many traders and move investors to other assets as with this high taxation they remove a lot of the expected reward that was the reason to take a high risk in this investment.

You are right mate especially the small traders will be affected more and that is why i think it will be much better if they reduce the amount of the percentage the said they would charge from that 20% to at least 5% which can be affordable for all.

[Oxygen99 1930]

On 10/25/2020 at 4:56 PM, Zafarwaheed said:

But it's a also bad news for the users of this forum that they have to pay 20 percent tax of their amount to cash out.

You are right my friend because we don't earn huge amount working in this forum compared to the likes of bitcointalk which is why i also support the reduction of the earlier stated amount which is 20% tax to the traders.

[Braulio Eurea 720]

Every day more countries join the recognition of cryptocurrencies, perhaps forced by financial needs, they see in the commercial activities of the cryptographic world an alternative in obtaining financial resources. The fact that South Korea introduces a tax on cryptocurrencies is a significant advance to full official recognition of cryptocurrency trading activities. The crypto world exists and as such is part of the world economy and finance, it is already a business activity that is present and creates jobs and generates wealth and well-being.

[Sanjana321 6]

That would be a bad news, it could lead to reduction in investors from south korea but it could help the country by earings tax they could increase the development in that country which could help many poor people in South Korea.

[Jromz 2158]

Taxation of crypto trading, as it recently also occurred in Spain, can be a real pain for traders, specially when t comes to high levels, such as 20 %, yet from another perspective such measurements  also imply the legitimization of cryptocurrencies as financial assets, probably giving a different notion to most skeptical people being, which may promote massive adoption in the long term. 

 

 

[khan22 3478]

This is a great news that crypto is going to be legal in the south korea and i hope that in the crypto market soon the other countries will in and they are going it to be legal and also they apply some tax.

[Projectcrypto 4382]

9 hours ago, Sanjana321 said:

That would be a bad news, it could lead to reduction in investors from south korea but it could help the country by earings tax they could increase the development in that country which could help many poor people in South Korea.

That is true mate because sometimes the country needs our help to develop the nation at large but some people find it difficult to understand that which is why most of them go against the issue of taxing traders completely and i think it is good but too much.

[CryptoMaxim 3829]

On 23.07.2020 at 11:57, malik6314193 said:

In one way it is good news because now South Korea officially accept the crypto currencies and crypto trading and but it is also a bad news for their users that now they have to pay 20% tax which is too much. 

I believe that 20% is a large amount of tax and Koreans will probably look for ways to avoid paying it. As for me, the tax should not exceed 3%-5%

[Jaafar Fahad Hassan 114]

On 10/28/2020 at 1:36 PM, Projectcrypto said:

That is true mate because sometimes the country needs our help to develop the nation at large but some people find it difficult to understand that which is why most of them go against the issue of taxing traders completely and i think it is good but too much.

I agree with too mate, the country knows what people generate from cryptocurrency,I guess that why they put that much as tax, but honestly that too much . And you are right about what you said about the country needing our help

[Projectcrypto 4382]

13 hours ago, Jaafar Fahad Hassan said:

I agree with too mate, the country knows what people generate from cryptocurrency,I guess that why they put that much as tax, but honestly that too much . And you are right about what you said about the country needing our help

As a good citizen on a nation we need to help in the development of our nation in one way or the other because only by that we can raise the flag of our country higher and by that we can help reduce the pressure on the government which will ease many things in the country.

[Jaafar Fahad Hassan 114]

1 hour ago, Projectcrypto said:

As a good citizen on a nation we need to help in the development of our nation in one way or the other because only by that we can raise the flag of our country higher and by that we can help reduce the pressure on the government which will ease many things in the country.

That's what a good citizen should really out into consideration, most countries that it citizen would adhere without hesitation to pay such tax, there is no doubt the country will develop very fast 

[Projectcrypto 4382]

1 hour ago, Jaafar Fahad Hassan said:

That's what a good citizen should really out into consideration, most countries that it citizen would adhere without hesitation to pay such tax, there is no doubt the country will develop very fast 

Sure but I just hope they will reduce the amount of the tax they wish to charge th traders in there country because it will for sure affect many traders and small traders won't earn something reasonable as profit.

[khan22 3478]

South Korea is a good country that allow the crypto market in their country and they apply 20% tax on the profit and this is so much but the south korea peoples will use the crypto legally and they make good profit in future through this business.

[Projectcrypto 4382]

On 10/30/2020 at 5:04 PM, khan22 said:

South Korea is a good country that allow the crypto market in their country and they apply 20% tax on the profit and this is so much but the south korea peoples will use the crypto legally and they make good profit in future through this business.

Making Cryptocurrency a legal currency is the only advantage I see in this issue aside that i will say it again that the amount the choose to charge traders is too much and we all suggest they reduce the amount back to at least 4-5% which is fair from my own point of view.

[Syedbesharat 5423]

Applying this much tax at once is not a good policy of south Korea government. They have to move slowly first they have to introduce 2% and then give good services for crypto holders. Then start moving tax annually which will easily adopted by holders. This suddenly implementation will cause problem for government and crypto holders. The people  will hide their assets and take low interest in crypto. 

[Amiami 1362]

He asked me if these taxes are exclusive to Korean citizens, or is it a tax that exchanges will charge to other users, it certainly seems crazy to me if this affects the rest of their users, however such a high tax has its advantages, such as  for example, the greater legality that this brings to cryptos in the Asian giants.