South Korea's petition to abolish crypto income tax reaches the 50k signature threshold

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BlockBeats News, May 22 — A petition in South Korea calling for the abolition of the 22% cryptocurrency investment income tax has surpassed 50k signatures, reaching the threshold for the National Assembly's Finance and Economy Committee to review. The tax plan is set to take effect in January 2027. Petitioners criticize it for imposing a tax burden far higher than other asset classes on crypto assets, while also increasing investor reporting obligations and limiting opportunities for the younger generation to accumulate wealth. Currently, the petition has over 52,000 signatures.

The petition states that a 22% high tax on crypto could lead to industry contraction, capital and talent outflow, and long-term damage to South Korea's position as a crypto hub in Asia-Pacific. Although South Korea's crypto holdings once reached 32% in March 2025, the total value of holdings and trading volume declined significantly between 2025 and 2026. Coupled with strict AML/KYC regulations in South Korea, this further accelerated investor loss. The petition urges the South Korean government to avoid causing greater harm to the crypto ecosystem for short-term tax gains.

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LateFeeLeo
· 1h ago
50k signatures indicate significant public discontent; the Finance Committee needs to consider this carefully.
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VineGeometry
· 1h ago
22% is indeed too high; young people simply can't afford it. Support abolishing it.
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ColdBrewYield
· 1h ago
High tax burden + complicated reporting, who can handle the double debuff?
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SugarAirdropDream
· 1h ago
Capital outflows and talent drain, this tax is designed to drive away innovation
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GateUser-c1cab702
· 1h ago
In 2025, the holding rate is still 32%. A tax scare causes everyone to run away—short-sighted.
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LpGrandma
· 1h ago
If this move by Korea succeeds, the Asia-Pacific crypto hub might really take off.
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