South Korea’s tax agency said today that taxpayers this year declared overseas cryptocurrency assets worth a total of 130.8 trillion won ($98.5 billion) after the country began to require reporting of overseas crypto assets this year.
The National Tax Service said in a statement that a total of 1,432 individuals and companies reported their overseas crypto assets. The country requires Korean nationals who possess over 500 million won in assets, including crypto, in foreign accounts to declare their holdings, according to local news agency Yonhap.
The overseas crypto holdings declared by Korean taxpayers accounted for 70.2% of the total value of reported foreign assets, the tax authority said.
In June, South Korean lawmakers passed legislation to better protect crypto investors. The new legislation, comprised of 19 crypto-related bills, gives the Financial Services Commission and the Bank of Korea the authority to oversee crypto operators and asset custodians. The new bill also allows authorities to enforce penalties in cases of unfair trading of virtual assets.
In July, the FSC said it would require domestic companies to disclose cryptocurrency holdings from next year as part of new accounting rules. The new rules will also require crypto issuers to disclose information, including token details, business models and internal accounting policies.
© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.