South Korea’s tax department revealed that taxpayers this year have declared 130.8 trillion won ($98.5 billion) worth of overseas cryptocurrency assets. From this year, South Korea made it mandatory for its citizens to declare overseas crypto assets.
The National Tax Service, in a statement, revealed that a total of 1,432 individuals and businesses have reported their overseas cryptocurrency holdings. Under this regulation, South Korean nationals possessing over 500 million won in assets, including cryptocurrencies, in foreign accounts are obligated to disclose their holdings, media reports said.
The overseas crypto assets declared by South Korean taxpayers make up 70.2% of the overall reported foreign assets, according to the tax authority’s statement.
In June, South Korean lawmakers passed a set of legislation aimed at enhancing the protection of cryptocurrency investors. This comprehensive legislation, comprising 19 bills related to cryptocurrencies, grants regulatory authority to the Financial Services Commission and the Bank of Korea over cryptocurrency operators and asset custodians.
Additionally, it empowers authorities to impose penalties in cases of unfair trading involving virtual assets.
Furthermore, in July, the Financial Services Commission (FSC) announced its plans to mandate domestic companies to disclose their cryptocurrency holdings starting next year, as part of new accounting regulations.
These forthcoming rules will also necessitate cryptocurrency issuers to provide detailed information, including token specifications, business models, and internal accounting policies.
