According to the well-known local newspaper, The Financial News, the government is planning to set up currency regulations at the end of June, after the elections.
Financial News stated:
“Meanwhile, the government plans to set up a full-scale virtual currency regulation right after the June 13 local elections. The Ministry of Finance and Economy will hold an international financial conference on virtual currency and blockchains for G20 members on June 14th in Seoul and will hold a second working session on the G20 international financial system on the 15th”
The Financial News also reported that South Korea’s Ministry of Taxation looked into cryptocurrency approaches in other countries around the world by sending a group of people to several countries around the world, including the United States, Germany, the United Kingdom and Japan to survey their varying crypto tax frameworks. It was discovered that taxation is applied “based on the principle that there is a tax on income,” as opposed to non-income taxes, according to FNN, with each country having a different vision and background.
Financial News also stated:
“Currently, the US and the UK are taxed with capital gains tax, Japan with miscellaneous income, and Germany with other income. It is because the characteristics of virtual money were different in each country, such as payment means, monetary ability, financial assets, and so on. However, these countries have found that there are few cases where actual tax is imposed, as opposed to taxation based on the principle that there is a tax on income.”
This is a remarkable development by the country, and it will be interesting to see the new crypto-taxation rules and regulatory guidelines that will be announced in the future.
For more information on the cryptocurrency market, visit our Bitcoin category.