South Korea Crypto Tax Debate Intensifies as 2027 Deadline Approaches

South Korean political and industry leaders are clashing over the planned 2027 crypto tax implementation. Lawmaker Min Byung-duk (Democratic Party) argues that taxation should follow the passage of the Digital Asset Basic Act and criticizes the lack of loss carryforward provisions. The Digital Asset Exchange Association (DAXA), represented by Vice Chairman Kim Jae-jin, warns of technical hurdles regarding cost-basis accounting and cross-border data. Finance Minister Lee Hyoung-il maintains that the tax will proceed as scheduled, noting that 85% of local investors hold less than 5 million KRW (approx. $3,700) and will likely be exempt under current thresholds.