SOUTH KOREA NOT BANNING CRYPTO NOW - but want 24.2 percent tax?

[artmen007]

It is certainly well that is not banned entirely, but I sincerely do not understand how they are going to track it. It is too costly in time and resources.

The percentage is too high. 2-3 years pass and people will stop doing in the crypt so many x's. And because of the high taxes it will be available only to larger players.

The stronger going to control the crypt the stronger the opposition from the community. Leave many cryptocurrency providing anonymity of payments. Now this is a very big trend.

[tetyulfania]

Sounds good news whe the south korea announcement that the korean is will not banned bitcoin and cryptocoin, it will be good news for the all off bitcoiner in the world and excatly for the bitcoiner from korea. Just few day bitcoin price will be up and pump again, nothing stop the bitcoin price and the korea have annoucement that bitcoin will be allow for transaction in south korea. Just waiting for good news in another country.

[Rayner77]

Well, it's both good and bad since the tax doesn't take into account the transaction fees needed to transfer coins in a timely manner... It will be painful for those making payments...

[rancidgash]

Sounds good news whe the south korea announcement that the korean is will not banned bitcoin and cryptocoin, it will be good news for the all off bitcoiner in the world and excatly for the bitcoiner from korea. Just few day bitcoin price will be up and pump again, nothing stop the bitcoin price and the korea have annoucement that bitcoin will be allow for transaction in south korea. Just waiting for good news in another country.

the South Korean government will take reprisals against anonymous trading bills and penalize market manipulations, money laundering and fraud. But the government will also support and even fund the development of blockchain technology.

[denzkilim]

any truth to this?

seems okay or at least better than a ban?

Sounds like good news??

https://cointelegraph.com/news/s-korea-to-tax-crypto-exchanges-242-percent-in-line-with-existing-tax-policy

I do think it's good news. It is better than banning it, and by imposing tax on profits made on cryptocurrency - the country is accepting cryptocurrency. But 24 per cent tax, is far too high.

The UK and EU are also looking to regulate Bitcoin and other cryptocurrencies to fight anti-money laundering and tax evasion. I believe that we will see that in the next month or two. And I expect to see more of the same in many other countries.  https://www.theguardian.com/technology/2017/dec/04/bitcoin-uk-eu-plan-cryptocurrency-price-traders-anonymity

Of course it is good news bro and if every government in the world would regulate bitcoin or other crypto currencies the price of this digital assets will somehow be more stable. I know there are still ups and downs even if it's regulate but it's a one step closer to the world acceptance of this digital currencies just what I have said before in this thread. And thanks for the link I'll read it later after finishing some tasks.

[chocolaty]

I think its not fair! what they are doing now is forcing the people to that so, and if thr people dont want it thry will hold their crypto unless they will give taxes ? about 20%?  its bigger than what the government appealing taxes on employees, but i guess korean will deal with it since their coins are on hold by the government.

Seems fair to me. Better than banning the cryptocurrency totally. Besides, the government will never approve anything without them getting benefits right? It's the government for God's sake. Of course they want something in return to give it full permit of operation. It is unrealistic if it will be taxless. Rules make the world circulating.

[Catch-22]

South Korean not banning bitcoin is good news, bad news is that the tax is too high.  Considering the 24.2% tax plus the transaction fee, it may discourage South Koreans to invest in bitcoin.

[just_Alice]

and how would they regulate taxation protocol when holders of crypto transact anonymously?

South Korea might have implemented something similar to US IRS in 2014. They taxed not only cashing, but also trading cryptocurrency to cryptocurrency and purchasing goods and even some of the wallet-to-wallet transfers may be taxed. Certainly, one can avoid paying taxes at his own risk and peril, because it's illegal. The thing is, cryptocurrency transactions are not that anonymous and can be tracked if needed. Take a read on this interesting article https://www.buybitcoinworldwide.com/anonymity/

[mattmct]

This report hasn't been officially confirmed yet. If the South Korean government applies this new taxation rates to cryptocurrency exchanges then they would have to pay 24.2 percent of corporate and local income taxes, don't see why this new tax policy would have any significant impact on individual traders.

Under current laws, all corporations with income of over 20 billion won (US$18.7 million) are required to pay 22 percent and 2.2 percent of corporate and local income taxes on their income.

Bithumb, one of South Korea's major cryptocurrency exchanges, is expected to pay about 60 billion won in corporate and local income taxes as its estimated earnings reached 317.6 billion won last year, according to Yujin Investment & Securities.

Bithumb reported 49.23 billion won in earnings on 49.27 billion won of sales for the first seven months last year.

http://english.yonhapnews.co.kr/news/2018/01/22/0200000000AEN20180122002200320.html

https://en.wikipedia.org/wiki/List_of_countries_by_tax_rates

So essentially this doesn’t affect individual traders and is more for people who might own an exchange or run a crypto based business

[gakadem]

I think this is good news, because then the investors in south korea can reinvest their money with bitcoin
But now the South Korean government itself, issuing taxpayers to every bitcoin user
But not with existing investment licenses, it can also increase state revenues, with the taxes required from bitcoin.
but I think a 24.2% tax will weigh on investors
This is good news, so is bad news