South Korea discuss the possibility to give crypto a legal status

[airdnasxela]

I've seen a lot of online petition and I bet it won't work unless citizens won't make efforts to stop it. Do you think that online petition is already enough? No. Even if we all sign that petition but it still lacks pursuing from the citizens of Korea, government won't notice and make an action for it.

Why are you so afraid of tax? Everyone is responsible for paying tax. It's for the people also... Look at the brighter side if they officially legalize crypto, it can help for awareness and protection.

[CryptoBry]

Currently, crypto is NOT taxed in korea. If they do this, it most likely WILL be taxed in korea. Please everyone, for the sake of me, let’s all sign a petition to stop the Korean government from doing this to ME and everyone like me. This will not raise trading volumes on korean exchanges and will only hurt those invested in crypto in korea. Damn you Korean government! Damn you all to hell....!   

Is there really no tax imposed on cryptocurrency in South Korea? Please don't curse your government if the concern is its plan to tax cryptocurrency transactions and gains from trading. Other big and small countries are taxing their people when they are into cryptocurrency as the government has the responsibility to raise revenues for all of its operations and programs. One the government will be implementing a tax system, taxpayer can demand more from the government and you all can criticize it of any corruption or wrongdoing. This is a shared responsibility by all people and not one should feel privileged nor exempted from getting away in paying tax. Remember always: Tax and Death are the only very certain in this world we live in.

[target]

I also do not want to be taxed from crypto and I sure hope my government will not take action as for now but if they will eventually do it, I will comply.

Your government had been planing it since last year, there were plenty of time for you to prepare for it and probably save some money to pay for your tax when invoice come. If you earn from it, then its fair to give back. I don't think a petition will help for not paying tax is like cheating the government.

[Leyss]

It seems that the period when the cryptocurrency was not regulated and taxes were not paid on income from it, is passing. Now all states are considering the possibility of establishing taxes on profits in cryptocurrency and this is quite natural and logical. Any state has the right to establish taxes on any type of activity of citizens that brings them income. If the government in South Korea does this, citizens will be required to pay such a tax. Otherwise, the government will be forced to take retaliatory measures, including by restricting or even prohibiting the circulation of cryptocurrency.

[abel1337]

This will be the great decision for mass adoption

It's one of the advantages when the Korean government recognizes them as one of their accepted currencies in their country, It also a major drawback like the OP said it will come to the point that the user on their country will be taxed. But remember even you are taxed, I'm sure it will bring more advantages like being used it on the different merchant in the streets, I don't know how much the Korean government will be taxed every transaction on bitcoin in their country but it will be small for sure 

There are other countries that are being taxed on their own country but they aren't complaining about it cause it's not too big to complain about and It's better than to be illegal.

[xiboothrezi]

I appreciate the policy of the South Korean government towards cryptocurrency. They accept this openly, taking into account the important points to reduce the adverse effects of misuse of cryptocurrency that has been feared.
As one of the countries with the most traders, South Korea has taken a strategic step by carrying out South Korea's financial regulator's plan to directly manage cryptocurrency exchanges. Please read the full news here.

[Kyraishi]

I've seen a lot of online petition and I bet it won't work unless citizens won't make efforts to stop it. Do you think that online petition is already enough? No. Even if we all sign that petition but it still lacks pursuing from the citizens of Korea, the government won't notice and make an action for it.

Polls usually never have any effect on governments or companies, name one petition that was able to change the outcome of a situation people didn't like. Doesn't exist.

This will be the great decision for mass adoption

It's one of the advantages when the Korean government recognizes them as one of their accepted currencies in their country, It also a major drawback like the OP said it will come to the point that the user on their country will be taxed. But remember even you are taxed, I'm sure it will bring more advantages like being used it on the different merchant in the streets, I don't know how much the Korean government will be taxed every transaction on bitcoin in their country but it will be small for sure 

There are other countries that are being taxed on their own country but they aren't complaining about it cause it's not too big to complain about and It's better than to be illegal.

I don't see any bad things that are coming from this case. It isn't meant for customers to not be paying tax on crypto earnings and it definitely isn't fair for the rest of the country and world, this means mass adoption at the costs of an unfair advantage.

[pixie85]

But don't you think this is a little bit unfair? They are producing fiat money and making sure it's hard to counterfeit and relatively stable so they make you pay taxes for transactions in fiat.

They don't make crypto and they don't help to make it secure. They also have nothing to do with how transactions in crypto are made but they still want a share of every transaction.

I'm ok with paying taxes when I convert to fiat. I'm not ok with paying taxes like people in the USA for holding or trading for other cryptocurrencies.

I'm curious how tax laws in Korea are going to be.

What do you mean by "taxes for transactions in fiat"? There are fees that are charged by banks for their services, governments don't have anything to do with it. If you talk about something like VAT, than it's a different story, but regardless whether it's fair or not, those taxes aren't just payments for using currency, they are used to fund all public stuff. So, if a country allows crypto as payment method, it would make sense that the same taxes would be applied to it.

Does this mean you think that things like capital gains tax that people in the US have to pay for holding Bitcoin is used to fund public stuff?

And how about war games and nuclear weapons research that is funded with your taxes? Is that fair?
Banks do not produce money! The government does and in my eyes it's fair they want taxes if we use their legal tender.If we don't it's a different story. The same taxes should not apply to crypto because crypto has no production and maintenance cost unlike fiat that you have to print, mint, and distribute.

[hatshepsut93]

Does this mean you think that things like capital gains tax that people in the US have to pay for holding Bitcoin is used to fund public stuff?

And how about war games and nuclear weapons research that is funded with your taxes? Is that fair?
Banks do not produce money!

I'm not going to argue whether taxation as a whole is right or wrong, this is something that people should decide for themselves, and then understand the consequences of their decisions. What I'm saying is that logically there shouldn't be much difference between fiat and crypto taxation and same principles can apply to both.

The same taxes should not apply to crypto because crypto has no production and maintenance cost unlike fiat that you have to print, mint, and distribute.

The cost of running fiat currency is just a tiny fraction of government's budget. No one will bother factoring it into taxes, especially since fiat becomes more and more digitized.

[th3nolo]

Currently, crypto is NOT taxed in korea. If they do this, it most likely WILL be taxed in korea.

Please everyone, for the sake of me, let’s all sign a petition to stop the Korean government from doing this to ME and everyone like me. This will not raise trading volumes on korean exchanges and will only hurt those invested in crypto in korea.

Damn you Korean government! Damn you all to hell....!    Source: http://www.thebchain.co.kr/news/articleView.html?idxno=5981

If you don't want to pay taxes on capital gains you can go to Portugal, I have understood they make things easy for investors to obtain nationality.

check:
https://cointelegraph.com/news/portugal-tax-authority-bitcoin-trading-and-payments-are-tax-free
https://www.forbes.com/sites/kellyphillipserb/2019/09/19/portugal-tax-authorities-clarify-that-buying-or-selling-cryptocurrency-is-tax-free/
https://news.bitcoin.com/why-portugals-tax-free-crypto-trading-matters-for-bitcoin/

[nreal]

Strangely, people want BTC to be legal, but when BTC is considered legal, people don't want to pay taxes. If BTC is legal, then paying taxes is obvious. Before you do this you have to learn about tax rates.

[dimonstration]

Strangely, people want BTC to be legal, but when BTC is considered legal, people don't want to pay taxes. If BTC is legal, then paying taxes is obvious. Before you do this you have to learn about tax rates.

Taxes will only happen buying, selling of, investing in, or using bitcoins to pay for goods or services, it cannot be taxed as long as you don't use it or better just hold it or spend little by little to avoid taxes. Taxed is needed to stop government banning crypto since it's only the cons they see of why not implementing it yet.

[Ailmand]

I think this comes along with crypto mass adaptation. Once crypto is recognized by the government there is a high chance that it will be treated as an asset and it will be taxed. Korea has a high potential in regards to crypto since they are one of the country in Asia that is prominent in regards to technology.

[secretgirl]

I think the imposition of taxes on cryptocurrency is not a big problem. it is our duty as citizens to pay taxes. and this tax is used to build the country so if we can afford to pay I think it doesn't matter. the south korean government is aware of the great potential possessed by bitcoin and cryptocurrency. so they made this rule.

[FaithInCrypto]

I seriously doubt an online petition is going to change the minds of the politicians in south korea...about anything.

I agree. I actually don't think any government pays attention to an online petition, I haven't encountered one yet.

I am actually torn if we want crypto to be legalized or what? Crypto people always shout out to legalize the use of crypto but then now we're shouting not to make it legal? I am confused.

[Asmonist]

It would be great news for koreans. Every crypto countries are somehow wishing for it to cut the notion about bitcoin being scam, etc. It would help to increase more the confidence to invest and trade cryptocurrencies. If South Korea can give crypto a legal status then why not with other countries, right? Eventually it will soon spread in other government leaders and futuristic politicians.

[gaston castano]

Seeing Korean people 's enthusiasm for crypto I think this is a great opportunity for the government to impose taxes, where they get more benefits just by imposing unilateral regulations. like the above review will not increase trade volume but the government only sees this as a good opportunity and opportunity without thinking about impact.

[7788bitcoin]

This is old news. They have been planning this for quite some time. The government first announced that they will be ending the tax benefits for Bitcoin sometime during mid-2018. As a first step, they had made cryptocurrency exchanges ineligible for the income and corporate tax deductions, which are provided to small and medium-sized enterprises.

I thought they already legalized the market and all the exchanges are functioning as per the rules and regulation set by the government and they could spend bitcoin in stores.

This was a major blow to many of the exchanges. For example, Bithumb paid 27.2 billion won as corporate tax on its net profit of 250 billion won during 2017-18. Under new rules, they are liable to pay almost double that amount (close to 54 billion won). For the past several years, the finance minister (Hong Nam-ki) had adopted a hostile stance towards cryptocurrency and I don't expect it to change anytime soon.

Does the government having a hostile attitude and extra tax for the crypto exchanges or are they collecting the tax as per the normal standard in Korea, if they are only collecting the normal tax slab you cannot call it a hostile attitude as you cannot exempt one sector and collect the same tax from other sectors as it will create further issues.

[Fappanu]

I don't see anything bad here as it is for the good of the Korean nation as well. Maybe big time traders are affected by this because they have to pay taxes to the government, which is really hurting them because they hold big amount of crypto.

[carlisle1]

I don't see anything bad here as it is for the good of the Korean nation as well. Maybe big time traders are affected by this because they have to pay taxes to the government, which is really hurting them because they hold big amount of crypto.

but that's the sign of legalization ,and this means one thing that Korean Government is really serious in adopting cryptocurrency and next step to the future.i hope each countries will do the same action and support the growing numbers of cypto enthusiast.maybe there are some factor to consider since traders will be te most affected people here but if they will be treated fair i am sure understanding will come and the decision will be finalize in favor of two parties the Government and the crypto community