The government of South Korea has finalized its plan to charge a 20% tax on income generated from cryptocurrency transactions.
The country's Ministry of Economy and Finance amended its tax code on Wednesday, saying that an annual income of more than 2.5 million won (~$2,000) from crypto trading will be subject to a 20% tax for residents. Any income less than that amount will have no charge.
The revised tax code, which is subject to parliamentary approval, would come into effect from October 1, 2021. The ministry will submit the code for National Assembly approval before September 3.
South Korea had been planning to levy taxes on crypto income for over six months. The ministry has now finalized its classification of crypto gains as "other income" for tax purposes.
© 2020 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.