A planned tax and a pending digital-asset framework are colliding in South Korea, where petitions to repeal or delay the crypto levy have each passed 50,000 signatures.
The petitions call for repeal and a two-year postponement, respectively, and have prompted legislative review. The levy remains scheduled for a Jan. 1, 2027 start, following three previous postponements.
Lawmakers have raised the question of whether South Korea should activate the tax before a broader digital-asset framework is in place. The proposed Digital Asset Basic Act is nearing the end of consultations, and Lee Eog-weon, chairman of the Financial Services Commission (FSC), told lawmakers Thursday it would be submitted promptly. The proposed act covers licensing rules and stablecoin issuance. Lee said the tax should “take various circumstances into full consideration.”
Democratic Party leader Kim Min-seok called Thursday for a “thorough final review” of the tax. The party had previously supported a 2027 start.
The National Tax Service aims to complete the draft tax notice by Friday, Oct. 30.
