South Korea will implement a twenty% revenue enhancement on Bitcoin (BTC) and cryptocurrency profits starting Jan. i, 2022. The nation's Ministry of Economy and Finance appear that profits made from both trading and property cryptocurrencies will be subject to the tax, reported the Korean Herald on Monday.

The tax will exist triggered when profits made from cryptocurrencies exceed 2.5 one thousand thousand won, or roughly $2,300. Gains made upwardly to this point will be taxation-exempt.

S Korea previously aimed to levy the tax starting in 2020, but pushback from cryptocurrency enthusiasts and lobbyists saw the government filibuster the implementation of the taxation several times. A 2022 outset date was previously floated by the South Korean regime, yet, that date was then delayed until 2023, as previously reported by Cointelegraph.

Now, it appears that 2022 is dorsum in the cards once more. Following S Korea'due south recognition of Bitcoin every bit a financial asset, BTC and other cryptocurrencies will no longer be classed equally tax-free hobbies.

Cryptocurrencies received every bit part of an inheritance, or those received as gifts, will too be taxed. Referring to crypto gifts and inheritances, the Herald states:

"In such cases, the price of the nugget will be calculated on the ground of the daily average price for one calendar month earlier and one month afterward the date of the inheritance or gift."

Over 38,000 citizens have already signed a petition in protest of the impending tax since Feb. x. If the number of signatures on the petition reaches 200,000 by the end of March, information technology will force an official response from the S Korean government.

Starting in March, an expected revision to the Specific Financial Transactions Human activity will also come across cryptocurrency exchanges fall under new regulatory scrutiny. In addition to stronger information security procedures, and Anti-Coin Laundering measures, the new regulation will also meet exchanges forced to implement "real name accounts," reports the Korea Herald.