South Korea Delays Crypto Tax Implementation to 2027 Amid Regulatory Challenges
South Korea has deferred its cryptocurrency taxation framework for the fourth time, pushing the effective date to January 2027. The delay underscores persistent gaps in defining and enforcing virtual asset income, including airdrops, staking, and mining rewards. Structural ambiguities and tracking difficulties—particularly for overseas transactions—have hampered implementation since the law's passage in 2020.
The government recently joined the OECD’s Crypto-Asset Reporting Framework to bolster cross-border tax enforcement. While this signals long-term commitment to regulation, the repeated postponements reveal the complexities of adapting legacy tax systems to blockchain economies. Market participants now have additional runway to navigate compliance uncertainties.
