South Korean lawmaker warns 22% crypto tax could drive capital overseas

South Korean lawmaker Park Soo-young has called for the government to withdraw its planned 22% tax on virtual asset gains before the levy takes effect on Jan. 1, 2027, arguing that the policy unfairly targets roughly 13 million crypto users while investment taxes on domestic stocks have been scrapped. Summary South Korean lawmaker Park Soo-young has called for the planned 22% crypto gains tax to be withdrawn. The tax is scheduled to take effect on Jan. 1, 2027, with an annual deduction of 2.5 million won. Park said the tax could push more Korean capital to overseas crypto exchanges. The People Power Party has also proposed abolishing or delaying the tax. According to Digital Asset, the People Power Party lawmaker criticized the tax plan on his YouTube channel, “Park Soo-young’s Economy TV,” on Aug. 13, describing it as a punitive policy that could push more Korean capital toward overseas cryptocurrency markets. “I hope this punitive tax plan that holds 13 million digital asset users hostage will be withdrawn immediately,” Park said. The lawmaker compared the treatment of crypto investors with South Korea’s decision to abolish the financial investment income tax, which would have ap...