South Korea's National Tax Service (NTS) announced that that Korean residents who hodl cryptocurrencies in foreign trading platforms will be obliged to report their hodlings for taxation starting 2022, Forkast has learned. However, residents of South Korea will have to pay taxes only when the aggregate amount of their cryptocurrency balances exceeds 500 million won (~$447,900) at the end of each month.
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The new tax obligations will come into force starting January 1, 2022, while the tax reporting will be required from June 2023. If South Korean residents violate crypto tax obligation, they will be subject to a fine of 10-20% of the amount not reported.
Meanwhile, the Korea Federation of Banks (KFB) called for a stricter oversight of altcoins to ensure "the safety of digital assets." According to an official of the association, the KFB wants to be sure that every cryptocurrency exchange can measure the number of digital coins it listed.
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